TSLA316.06010.76%
GM53.4001.06%
F11.4700.2078%
RIVN14.0100.19%
CYD23.430-0.1%
HMC33.110-0.48%
TM188.490-3.17%
CVNA332.1206.03%
PAG175.0204.22%
LAD312.9403.16%
AN203.2503%
GPI436.52020.46%
ABG237.6605.09%
SAH78.8103.38%
TSLA316.06010.76%
GM53.4001.06%
F11.4700.2078%
RIVN14.0100.19%
CYD23.430-0.1%
HMC33.110-0.48%
TM188.490-3.17%
CVNA332.1206.03%
PAG175.0204.22%
LAD312.9403.16%
AN203.2503%
GPI436.52020.46%
ABG237.6605.09%
SAH78.8103.38%
TSLA316.06010.76%
GM53.4001.06%
F11.4700.2078%
RIVN14.0100.19%
CYD23.430-0.1%
HMC33.110-0.48%
TM188.490-3.17%
CVNA332.1206.03%
PAG175.0204.22%
LAD312.9403.16%
AN203.2503%
GPI436.52020.46%
ABG237.6605.09%
SAH78.8103.38%
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GM, LG to produce low-cost LFP EV batteries at Tennessee Ultium plant by 2027

Ultium Cells will convert lines at its Spring Hill plant to produce affordable LFP batteries, thereby expanding the U.S. EV supply and driving tech innovation.

General Motors (GM) and LG Energy Solution will upgrade their Spring Hill, Tennessee, battery cell facility to manufacture low-cost lithium-iron-phosphate (LFP) cells, aiming for commercial production by late 2027. The move is part of a broader $2.3 billion investment in U.S. battery manufacturing through their joint venture, Ultium Cells. The upgrade reflects GM’s strategy to diversify EV battery chemistries, lower costs, and offer consumers more affordable electric vehicle options.

Here’s why it matters:

Lower-cost LFP batteries could allow GM to offer more competitively priced EVs, making them more accessible to a broader range of consumers. Dealers can expect an expanded EV lineup with varying performance and pricing options that better match different customer needs.

In turn, this could support showroom traffic, higher EV adoption, and more flexible selling strategies based on range, price, and use case. With local U.S.-based production, dealers may also benefit from improved supply chain resilience and faster delivery times.

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Key takeaways:

  • Spring Hill to produce LFP batteries by 2027
    Ultium Cells will begin converting lines this year at its Tennessee facility to produce lithium iron phosphate (LFP) cells for GM EVs.
  • LFP offers affordability and EV portfolio diversity
    LFP batteries are less expensive than high-nickel alternatives, allowing GM to lower EV prices and offer customers a wider range of models.
  • Multiple battery chemistries under one roof
    Spring Hill will become a flexible site capable of producing both high-nickel and LFP chemistries, boosting production agility and innovation.
  • Investment builds on $2.3 billion commitment
    The plant upgrade follows GM and LG’s major 2021 investment, reinforcing their long-term commitment to U.S.-based EV battery production.
  • Dealer impact: more EV options, competitive pricing
    With cost-effective EV models on the horizon, dealers can prepare for greater consumer interest driven by broader pricing and range options.

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Jaelyn Campbell
Jaelyn Campbell
Jaelyn Campbell is a staff writer/reporter for CBT News. She is known to cover the latest developments impacting automotive retailers, manufacturers, and industry professionals. Based in Atlanta, Georgia, Jaelyn brings a journalistic focus to key trends shaping the retail automotive landscape, including dealership operations, evolving consumer behavior, EV adoption, and executive leadership strategies.

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