With a major investment towards an electric future.
At the beginning of this year, Cadillac arrived at the 2019 Detroit Auto Show with a major announcement that it would morph into a Tesla-rivaling electric brand. Not concrete details were given but inside sources say the company plans to launch its first electric SUV (pictured below in official renderings) by 2022. This new SUV will be built on General Motor's new Battery Electric Vehicle 3rd generation (BEV3) architecture, which should underpin a variety of upcoming new vehicles.
But shifting focus towards electric cars is easier said than done and GM has a lot to do before it's ready to put its plans into action. GM just made a major first step as it announces a partnership with LG Chem to mass-produce battery cells for future EV models.
The two companies will invest a total of $2.3 billion in this new joint venture, which will involve building a battery cell assembly plant in the Lordstown area of Northeast Ohio, creating 1,100 new jobs in the process. GM says the new plant will have an annual capacity of 30 gigawatt-hours (with flexibility for expansion) and will produce cells with very little waste. This announcement follows news that GM will build electric versions of the Cadillac Escalade SUV and GMC Sierra and Chevrolet Silverado pickup trucks and revive Hummer as an electric brand.
"With this investment, Ohio and its highly capable workforce will play a key role in our journey toward a world with zero emissions," said GM Chairman and CEO Mary Barra. "Combining our manufacturing expertise with LG Chem's leading battery-cell technology will help accelerate our pursuit of an all-electric future. We look forward to collaborating with LG Chem on future cell technologies that will continue to improve the value we deliver to our customers."
"Our joint venture with the No. 1 American automaker will further prepare us for the anticipated growth of the North American EV market, while giving us insights into the broader EV ecosystem," said LG Chem Vice Chairman & CEO Hak-Cheol Shin. "Our long-standing history with General Motors has proven our collective expertise in this space, and we look forward to continuing this drive for zero emissions."