Stellantis N.V. and Samsung SDI have selected Kokomo, Indiana as the location for their second StarPlus Energy battery manufacturing facility. This decision underscores a joint venture that aims to bolster battery production for electric vehicles (EVs).
Why It Matters
Electric vehicles represent a pivotal movement in today’s automobile industry. Battery production is at its core, and as global companies position themselves for the EV future, large-scale gigafactories are essential. Such a significant investment not only advances technology but also creates thousands of new jobs, thereby playing a role in local economies and the broader push toward carbon neutrality.
Key Points
- Investment and Capacity: The joint venture is injecting over $3.2 billion into the new facility, set to begin production in early 2027. Its expected annual capacity will be 34 gigawatt hours (GWh). The combined investment for both the new facility and an existing one under construction surpasses $6.3 billion, aiming to create 2,800 jobs in total.
- First Gigafactory: Construction of the first StarPlus Energy gigafactory in Kokomo is already in progress. It’s slated to start production by Q1 2025, boasting an annual output of 33 GWh.
- Electrification Strategy: Stellantis’ COO North America, Mark Stewart, emphasizes that their battery ecosystem is foundational to their electrification blueprint. He commended partners Samsung SDI and local authorities for facilitating this strategic location.
- Samsung SDI’s Vision: Yoon-ho Choi, CEO of Samsung SDI, highlighted that the second plant’s establishment would be their largest EV battery production hub in North America. He anticipates that EVs powered by their batteries will be pivotal in America’s shift toward electric mobility.
- Economic Boost: Indiana Governor Eric Holcomb and Kokomo Mayor Tyler Moore lauded the initiative, noting that it will greatly benefit Indiana’s economy and position Kokomo as a leading EV battery producer in North America.
Bottom Line
Stellantis and Samsung SDI’s massive investment in Kokomo signifies a decisive step toward an electrified automotive future. It aligns with Stellantis’s ambitious Dare Forward 2030 plan aiming for considerable EV sales by 2030 and a carbon net-zero status by 2038. This gigafactory, in tandem with other strategic moves, will help pave the way for a more sustainable and electrified transportation landscape.
