GM venture begins battery cell production at new Ohio factory

Date:

General Motors’ new electric vehicle battery plant in Ohio has begun production of cells that could help customers get federal tax credits.

The Warren, Ohio plant is part of a joint venture with LG Energy Solution.

The joint venture plant is focused on training as it prepares to ramp up production. A company spokeswoman said it is producing cells but not shipping them yet.

They will go in vehicles powered by GM’s Ultium batteries, which currently include Hummer EVs, Chevrolet Silverado EV pickups and the Cadillac Lyriq electric SUV.

GM, LG ENERGY SOLUTION LOOKING FOR INDIANA FOR BATTERY INSTALLATION

The GMC HUMMER EV SUV completes the HUMMER EV family and features a 126.7-inch wheelbase for sleek proportions and an agile body for remarkable on- and off-road capability. (GMC/Fox News)

Ultimately, though, the factory must help GM’s EVs meet the requirements to qualify for a federal tax credit of $7,500 per vehicle.

President Biden recently signed legislation imposing new purchasing rules for battery components and critical minerals that will come into effect on January 1 so that electric vehicles qualify for the tax credits.

Under the Inflation Reduction Act, electric vehicles and their batteries must be manufactured in North America to get the credit.

GM headquarters in Detroit

The new GM logo can be seen on the facade of the General Motors headquarters in Detroit, Michigan. (REUTERS/Rebecca Cook/Reuters Photos)

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Battery minerals must also be mined or recycled on the continent or half of the tax credit will be lost. The batteries also cannot have components from China, another difficult hurdle.

The requirements are designed to build a North American EV supply chain so that the country is not dependent on China and other overseas countries.

Cadillac Lyriq

Defined by clean lines and clean surfaces, LYRIQ is assertive and modern, characterized by a low, fast roofline and wide stance that emphasize agility and exude confidence. (Cadillac/Fox News)

The $2.3 billion, 2.8 million square foot battery factory now employs 800 people and will eventually have 1,300.

ticker Safety Last Change Change %
GM GENERAL MOTORS CO. 38.20 -0.95 -2.43%

The companies are considering building a battery cell manufacturing plant in Indiana.

It would be the fourth battery plan developed by the companies’ Ultium Cells LLC joint venture.

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The others are in Michigan and Tennessee.

The Associated Press contributed to this report.

The Valley Voice
The Valley Voicehttp://thevalleyvoice.org
Christopher Brito is a social media producer and trending writer for The Valley Voice, with a focus on sports and stories related to race and culture.

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