LG Chem has signed a long-term cathode materials supply contract with General Motors (GM) worth approximately 18.8 billion US dollars. The deal, which runs from 2026 to 2035, covers the supply of more than 500,000 tons of cathode materials to GM. The contract is a follow-on to a July 2022 agreement between the two companies for the long-term supply of cathode materials. The current contract specifies part of the volume agreed at that time.
Supply of US material
The year of 2026 coincides with the start of production at LG Chem’s cathode material plant in Tennessee. The company began construction of this facility, which is designed to have an annual production capacity of 60,000 metric tons, in December 2023. LG Chem expects that the NCMA cathode material produced in Tennessee will mainly be used by Ultium Cells, a joint venture between LG Energy Solution and GM. However, as this is a direct contract with GM, the materials supplied could also be used in GM’s other electric vehicle projects.
Source:
https://www.lgchem.com/company/information-center/press-release/news-detail-9424?lang=de_GER
