GM Set to Produce LFP Models in Tennessee Facility
General Motors (GM) and LG Energy Solution, in partnership through their joint venture Ultium Cells, are set to commence the production of lithium iron phosphate (LFP) battery cells at their Spring Hill, Tennessee facility. Commercial production is expected by the end of 2027, following an upgrade to the battery cell manufacturing lines in late 2025.
Currently, GM and LG Energy Solution are producing nickel, cobalt, manganese, aluminum (NCMA) battery cells at the Spring Hill facility, which are known for their higher cost and higher energy density compared to LFP. The transition to LFP cell production will provide a more affordable alternative, expanding GM's electric vehicle (EV) battery chemistry options.
This move is part of a broader $2.3 billion investment aimed at enhancing US battery manufacturing and reducing EV costs. It's worth noting that LG Energy Solution has already started large-scale production of LFP batteries for energy storage in Holland, Michigan, but this facility is separate from the GM-LG Ultium Cells joint venture.
Here's a comparison of the timeline and focus:
| Battery Type | Manufacturer/Facility | Production Start | Usage Focus | |----------------------------|---------------------------------|----------------------------|---------------------------| | NCMA cells | GM & LG, Spring Hill, TN | Current production | EV batteries | | LFP cells (Ultium JV) | GM & LG, Spring Hill, TN | Commercial production by late 2027 | More affordable EV batteries | | LFP cells (LG Energy Solo) | LG Energy Solution, Holland, MI | Commercial production since May 2025 | Energy storage systems |
The Michigan plant's battery cell production is subject to local and state approvals. GM also plans to manufacture lithium-manganese-rich cells at its facilities, with the Michigan plant being considered for this production. The Ohio plant will continue producing NCMA cells.
The shift towards LFP cell production is attracting interest from other US automakers, including Ford, as a more cost-effective alternative to previous cell types. This move aligns with GM's electrification goals and could contribute to the growth of the electric vehicle industry in Michigan.
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GM aims to be the first manufacturer to implement lithium-manganese-rich cell technology on a large scale, with the potential battery cell production in Michigan expected to create jobs. The commercial production of LFP battery cells by GM is expected to begin by the end of 2027, marking a significant expansion of battery chemistry diversity for GM's EV lineup.
- The joint venture between General Motors (GM) and LG Energy Solution, Ultium Cells, will focus on manufacturing more affordable lithium iron phosphate (LFP) battery cells, shifting from the current production of nickel, cobalt, manganese, aluminum (NCMA) cells, thereby increasing business opportunities in the automotive and technology sectors.
- Other US automakers, such as Ford, are showing interest in the LFP cell production strategy due to its cost-effectiveness, demonstrating a potential growth in the electric vehicle (EV) industry within Michigan.
- With the Michigan plant's battery cell production subject to local and state approvals, General Motors also plans to venture into lithium-manganese-rich cell production at the plant, which could potentially bring finance and employment benefits to the region.
