General Motors and LG Energy Solution are set to invest an additional $275 million in their Tennessee battery cell plant with the objective of increasing production by in excess of 40 percent.
Through the expansion of the Spring Hill operation, GM will increase capacity from 35 GWh to 50 GWh. The additional investment comes in addition to the original $2.3 billion investment that the two companies first announced back in 2021. An extra 400 jobs will also be added to the 1,300 workers that the plant was initially expected to employ.
Read: U.S. Energy Department To Lend GM Battery Cell Manufacturing Arm $2.5 Billion
The Spring Hill site is one of at least four U.S. joint venture battery plants that General Motors is planning for the United States. The first of its Ultium facilities in Warren, Ohio commenced production in August. Other factories will include a plant in Indiana expected to cost about $2.4 billion and a $2.6 billion plant in Lansing, Michigan.
“This investment will allow us to provide our customer GM more battery cells faster and support GM’s aggressive EV launch plan in the coming years,” Ultium Cells LLC vice president of operations Tom Gallagher said. “Ultium Cells is taking the appropriate steps to support GM’s plan for more than 1 million units of EV capacity in North America by mid-decade.”
GM’s Spring Hill Ultium plant is located next to its Spring Hill Assembly plant which will handle the production of the Cadillac Lyriq. Production of battery cells at this site should start next year, The Detroit News reports.
News of this additional investment comes shortly after workers at the battery cell manufacturing plant in Warren, Ohio decided that they will hold an election to unionize on December 7 and December 8.