Work In Process: Your Monthly Process Industry Update For May 2023
This month our focus on the Process Industry is looking at the biggest developments in electric vehicle battery manufacturing across Europe and the US. Watch the latest video with Process Expert and Consulting Services Associate Cain Van Heyningen, or read on for more of the most significant industry developments, including:
- General Motors and Samsung's $3 billion US battery cell manufacturing plant
- Renault's new commercial partnership with Verkor for Alpine Electric batteries
GM And Samsung To Invest $3 billion In New Cell Manufacturing Plant
General Motors and Samsung SDI plan to invest over $3 billion to build a new battery cell manufacturing plant in the U.S., with the initial production targeted to begin operations in 2026. The plant will have more than 30GWh of capacity and will bring GM’s total battery cell capacity across the entirety of the U.S. to around 160GWh when it’s at full production capabilities.
General Motors Chair and CEO, Mary Barra stated:
‘GM’s supply chain strategy for EVs is focused on scalability, resilience, sustainability and cost-competitiveness. Our new relationship with Samsung SDI will help us achieve all these objectives. The cells we will build together will help scale our EV capacity in North America well beyond 1 million units annually.’
The companies plan to jointly operate the facility, and it is projected to have production lines to build nickel-rich prismatic and cylindrical cells. At this time, the exact location or employment opportunity projection has not been announced as of yet. Either way, the number of new jobs and construction operations are expected to land in the thousands.
As customer demand for electric vehicles rises, GM will continue to scale its supply chain operations, including cell production and vehicle assembly.
Renault Partners With Verkor For Alpine Electric Batteries
For our last story, Renault has entered a long-term commercial partnership with French startup Verkor to produce batteries for premium and Alpine electric models.
With a targeted capacity of around 12GWh, this should be enough to power over 100,000 vehicles. The collaboration will also make Renault the biggest buyer for products of Verkor’s planned gigafactory in Dunkirk, which is aiming for a total capacity for batteries equivalent to 16GWh.
Francois Provost, Renault’s Group Chief Purchasing, Partnerships and Public Affairs Officer recently stated:
‘Renault Group confirms its confidence in Verkor and its innovative, high-performance, low-carbon technology. This commercial partnership allows us to secure a long-term supply of electric batteries and to ensure reinforced traceability of the elements which compose them. It is in line with the ambition of the Group and its future entity Ampere dedicated to electric vehicles and software, to control the entire electric value chain.’
This announcement marks a very important step in the development of Verkor. The collaboration has also been a couple of years in the making, given their strategic partnerships started with Renault Group’s acquisition of a stake in Verkor back in June of 2021. Since then, Renault Group and Verkor have approved the technical quality of the product, its economic competitiveness and its commercial production process.
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