General Motors to invest US$6.5bn in battery tech

General Motors is expected to announce an increased investment in battery technology, bolstering itself for the electric vehicle arms race in the United States and beyond.

According to Reuters, the Detroit-based automotive conglomerate is looking to invest around US$6.5 billion (AU$9.05bn) in a joint venture with LG Energy Solutions, aiming to spend the money on a new battery plant as well as electric pick-up truck production.

Known as Ultium Cells, the partnership has already resulted in producing the batteries for the upcoming Hummer EV, as well as the all-electric Chevrolet Silverado EV, however the extra investment is tipped to result in an extra 4000 jobs across two plants.

2

Around US$2.5bn (AU$3.48bn) will go towards building a battery plant in the Michigan town of Lansing – adding 1700 jobs to the area – with GM and LG Energy Solution set to split the costs evenly, while the remainder of the funds are to be set aside for the expansion of its assembly plant in Orion, Michigan, preparing the facility for EV production.

The joint venture adds to General Motors' proposed US$35 billion (AU$46.5 billion) investment into electric and autonomous vehicle technology by 2025, rivalling the US$40bn+ investments being made by Detroit rival Ford in its own battery tech and EV platforms.

LG Energy Solutions is making waves in the American automotive market, having recently announced a joint venture with Stellantis to build a new battery plant, targeting an annual capacity of 40GWh to assist brands such as Jeep, Dodge, Chrysler and Ram with their respective transitions to electric model ranges.