Toyota and Stellantis both plan investments in U.S. battery plant
Toyota Motor Auto Titans (MT) – Get Toyota Motor Corp Sponsored ADR Report. and Stellantis (STLA) – Obtain the Stellantis NV report (formerly Chrysler) have each said they will build battery factories in the United States, as the race for electric cars continues.
Toyota will invest $ 3.4 billion in auto batteries in the United States through 2030, he said.
“More specifically, the investment aims to expand and localize the production of automotive batteries, including those for battery electric vehicles,” he said.
This is part of the $ 13.5 billion the company is committed to investing in batteries globally.
Toyota has announced that it will build a $ 1.29 billion plant in the United States with its subsidiary Toyota Tsusho, aiming to start production in 2025.
The $ 1.29 billion investment will create 1,750 new jobs in the United States, Toyota said.
Meanwhile, Stellantis and LG Energy Solution, the battery manufacturing unit of South Korean industry and technology group LG, have unveiled a joint venture to produce batteries for North America.
“The parties intend the joint venture to establish a new battery manufacturing plant that will help achieve Stellantis’ goal of achieving more than 40% of its sales in the United States from electrified vehicles by 2030,” the company said.
“Targeted to start up by the first quarter of 2024, the plant aims to have an annual production capacity of 40 gigawatt hours.
“The batteries produced at the new plant will be supplied to Stellantis assembly plants in the United States, Canada and Mexico. “
Shares of Toyota and Stellantis moved in opposite directions on Monday. Toyota recently traded at $ 177.94, up 1%, and Stellantis at $ 19.57, down 2%.
In other electric vehicle news on Monday, shares of Tesla (TSLA) rose, as Wedbush analyst Dan Ives said he expected a “general beat” for earnings from Tesla this week.