General Motors and LG decide not to move forward with fourth battery cell plant
General Motors and LG Energy Solution have paused plans for a fourth U.S. battery cell plant through Ultium Cells LLC.
According to CNBC, talks in recent months between GM and LG executives ended without an agreement to move forward on the plant developed by the companies through their joint venture, Ultium Cells LLC.
GM and LG initially announced the joint-venture for a $2.3 billion plant in Ohio in December 2019, followed by other plants near GM operations in Michigan and Tennessee.
The Wall Street Journal reported Friday afternoon that talks between GM and LG stalled due to LG executives in Korea becoming hesitant to commit to the project due to investments with other automakers as well as other economic factors.
Ultium communication director Brooke Waid would not comment on the scrapped plans for the plant. Waid said Ultium does not comment on internal business decisions of the partners LG and Ultium.
GM is expected to continue with its plans to build the plant through another partner.