GM and Samsung delay Indiana battery plant amid EV sales slump
- Production at the GM and Samsung battery plant in Indiana is delayed until 2027 due to a slowdown in U.S. EV sales.
- The facility, which is under construction, will create 1,600 jobs and produce nickel-rich prismatic batteries.
- The delay reflects broader challenges in the EV market, as manufacturers adjust to changing consumer demands and competition.
Production at a new electric vehicle battery cell plant in New Carlisle, Indiana, has been postponed until 2027 due to a slowdown in EV sales in the U.S. This delay is less than a year from the previously anticipated start date of 2026. The joint venture between General Motors and Samsung SDI was finalized recently, with construction already underway on the $3.5 billion facility, which is expected to create 1,600 jobs. Despite a 7% increase in overall electric vehicle sales in the first half of the year, concerns about range and charging infrastructure have tempered growth. Market leader Tesla has reduced prices, prompting other manufacturers to follow suit. The plant will produce nickel-rich prismatic batteries, which are designed to enhance energy storage, reduce costs, and improve driving range. This facility marks GM's fourth joint venture battery cell factory, following three others established with LG Energy Solution. The decision to partner with Samsung came after multiple recalls of Chevrolet Bolt vehicles due to safety issues with LG batteries. The new plant will also enable Samsung to enter the North American EV market, allowing it to sell battery cells to other manufacturers. The postponement of production aligns with broader trends in the automotive industry, as Ford recently announced delays in its electric vehicle lineup. These developments highlight the challenges faced by automakers in adapting to changing market conditions and consumer preferences in the rapidly evolving EV sector.