Source: Getty Images/D3Damon

Stellantis-Samsung SDI’s second gigafactory in the US is slated to have an initial production capacity of 34 GWh

European-American carmaker Stellantis NV and its South Korean battery supplier Samsung SDI have signed a memorandum of understanding (MOU) to establish a second battery manufacturing plant in the US, Stellantis announced July 24.

The company said that the second battery plant will come under its existing joint venture with Samsung SDI named StarPlus Energy. Stellantis, which aims to commence production operations in 2027, said that the planned gigafactory is slated to have an initial production capacity of 34 GWh.

Commenting on the second battery plant in the US, Stellantis CEO Carlos Tavares said, “This new facility will contribute to reaching our aggressive target to offer at least 25 new battery[-]electric vehicles (BEVs) for the North American market by the end of the decade. We are continuing to add more capacity in the US together with our great partner Samsung SDI and laying the next steps to reaching our carbon neutrality commitment by 2038.”

Adding to that, Samsung SDI President and CEO Yoon-ho Choi said, “By establishing the joint venture with Stellantis [in 2022], we laid a solid groundwork for marking our presence in North America. The second plant will accelerate our market penetration into the US and help Stellantis push forward the US transition to an era of electric vehicles by supplying the products featuring the highest levels of safety and quality.”

Significance: In May 2022, Stellantis and Samsung SDI had first announced their plan to build a battery manufacturing facility in Kokomo, Ind. Stellantis-Samsung SDI’s first battery plant in the US is slated to launch operations in the first quarter of 2025 with an annual production capacity of 33 GWh, up from the initial target of 23 GWh.

These plans are aligned with the carmaker’s Dare Forward 2030 strategic plan, wherein Stellantis aims to reach a 100% passenger car BEV sales mix in Europe and 50% passenger car and light-duty truck BEV sales mix in the US by 2030.

Interestingly, to achieve these sales targets, the company aims to secure approximately 400 GWh of battery-production capacity. Stellantis said that the company is on track to become a carbon net-zero corporation by 2038, all scopes included, with single-digit percentage compensation of remaining emissions.

The location of the second battery plant is currently under review and the carmaker plans to share further details at a later date.

Contacts

Copyright © 2025 S&P Global Inc. All rights reserved.

These materials, including any software, data, processing technology, index data, ratings, credit-related analysis, research, model, software or other application or output described herein, or any part thereof (collectively the “Property”) constitute the proprietary and confidential information of S&P Global Inc its affiliates (each and together “S&P Global”) and/or its third party provider licensors. S&P Global on behalf of itself and its third-party licensors reserves all rights in and to the Property. These materials have been prepared solely for information purposes based upon information generally available to the public and from sources believed to be reliable.
Any copying, reproduction, reverse-engineering, modification, distribution, transmission or disclosure of the Property, in any form or by any means, is strictly prohibited without the prior written consent of S&P Global. The Property shall not be used for any unauthorized or unlawful purposes. S&P Global’s opinions, statements, estimates, projections, quotes and credit-related and other analyses are statements of opinion as of the date they are expressed and not statements of fact or recommendations to purchase, hold, or sell any securities or to make any investment decisions, and do not address the suitability of any security, and there is no obligation on S&P Global to update the foregoing or any other element of the Property. S&P Global may provide index data. Direct investment in an index is not possible. Exposure to an asset class represented by an index is available through investable instruments based on that index. The Property and its composition and content are subject to change without notice.

THE PROPERTY IS PROVIDED ON AN “AS IS” BASIS. NEITHER S&P GLOBAL NOR ANY THIRD PARTY PROVIDERS (TOGETHER, “S&P GLOBAL PARTIES”) MAKE ANY WARRANTY, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO ANY WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE, FREEDOM FROM BUGS, SOFTWARE ERRORS OR DEFECTS, THAT THE PROPERTY’S FUNCTIONING WILL BE UNINTERRUPTED OR THAT THE PROPERTY WILL OPERATE IN ANY SOFTWARE OR HARDWARE CONFIGURATION, NOR ANY WARRANTIES, EXPRESS OR IMPLIED, AS TO ITS ACCURACY, AVAILABILITY, COMPLETENESS OR TIMELINESS, OR TO THE RESULTS TO BE OBTAINED FROM THE USE OF THE PROPERTY. S&P GLOBAL PARTIES SHALL NOT IN ANY WAY BE LIABLE TO ANY RECIPIENT FOR ANY INACCURACIES, ERRORS OR OMISSIONS REGARDLESS OF THE CAUSE. Without limiting the foregoing, S&P Global Parties shall have no liability whatsoever to any recipient, whether in contract, in tort (including negligence), under warranty, under statute or otherwise, in respect of any loss or damage suffered by any recipient as a result of or in connection with the Property, or any course of action determined, by it or any third party, whether or not based on or relating to the Property. In no event shall S&P Global be liable to any party for any direct, indirect, incidental, exemplary, compensatory, punitive, special or consequential damages, costs, expenses, legal fees or losses (including without limitation lost income or lost profits and opportunity costs or losses caused by negligence) in connection with any use of the Property even if advised of the possibility of such damages. The Property should not be relied on and is not a substitute for the skill, judgment and experience of the user, its management, employees, advisors and/or clients when making investment and other business decisions.

The S&P Global logo is a registered trademark of S&P Global, and the trademarks of S&P Global used within this document or materials are protected by international laws. Any other names may be trademarks of their respective owners.

The inclusion of a link to an external website by S&P Global should not be understood to be an endorsement of that website or the website's owners (or their products/services). S&P Global is not responsible for either the content or output of external websites. S&P Global keeps certain activities of its divisions separate from each other in order to preserve the independence and objectivity of their respective activities. As a result, certain divisions of S&P Global may have information that is not available to other S&P Global divisions. S&P Global has established policies and procedures to maintain the confidentiality of certain nonpublic information received in connection with each analytical process. S&P Global may receive compensation for its ratings and certain analyses, normally from issuers or underwriters of securities or from obligors. S&P Global reserves the right to disseminate its opinions and analyses. S&P Global Ratings’ public ratings and analyses are made available on its sites, www.spglobal.com/ratings (free of charge) and www.capitaliq.com (subscription), and may be distributed through other means, including via S&P Global publications and third party redistributors.