Stellantis announced Friday it has reached an agreement on a joint venture with Samsung SDI to build a factory in North America to produce battery cells and modules.
The plant will have an initial capacity of 23 gigawatt hours with the ability to bump that up to 40 gigawatts.
The plant is scheduled to become operational in 2025 and no site has been selected for the facility.
“With the forthcoming battery plants coming online, we will be well positioned to compete and ultimately win in the North American electric vehicle market,” said Stellantis CEO Carlos Tavares in a press release.
“Our strategy to work with highly recognized partners boosts the speed and agility needed to design and build safe, affordable and sustainable vehicles that match exactly what our customers demand.”
The announcement is the second from Stellantis this week on building North American battery factories.
On Monday the company revealed a joint venture with LG Energy Solution to build a North American plant. No site has been selected for that facility either.
That plant is expected to break ground in early 2024 and have a capacity of 40 gigawatt hours.
Stellantis is accelerating its electric vehicle plans and intends to spend about $54-billion through 2025 on electrification and software.
The company expects 40 per cent of its sales in the U.S. to be electric vehicles by 2030.
Stellantis’s electrification plans include spending up to $1.5-billion on re-tooling the Windsor Assembly Plant. The plant will get one or more new electric models in addition to being able to continue to produce Stellantis’s minivan line-up.
When completed the Windsor plant will be the only facility in the world producing three power train options – gas, hybrid and fully battery electric.