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HomeTechnology & InnovationGM reins in battery investments as US policy becomes clearer

GM reins in battery investments as US policy becomes clearer


General Motors has been pushing hard in 2024 to make its electric vehicle (EV) activities profitable. By focusing on production cost efficiency and developing US-based battery supply chains—most notably through its investment in the federally-backed Thacker Pass lithium mine—the automaker is well positioned for the future of electrification. In October, Chief Executive Mary Barra was convinced of an imminent EV “inflection point”.

However, GM’s stance on the technology has recently become more ambiguous. On 2 December, it announced the extension of a 14-year battery partnership with LG Energy Solution to include prismatic cells. These more space-efficient batteries are expected to reduce EV weight and costs relative to pouch cells. Then, on the same day, GM stated it would sell its stake in the “nearly completed” Ultium Cells plant in Lansing, Michigan, to LG for an undisclosed sum. The transaction is expected to be finalised in Q1 2025.



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