General Motors is strengthening its partnership with Samsung SDI, a South Korean battery maker affiliated with Samsung Group, as the two companies continue developing next generation electric vehicle batteries and Samsung SDI secures full ownership of a major battery plant in Indiana.
The agreement highlights Samsung SDI’s broader push to build a stronger manufacturing presence in North America, where automakers are racing to secure reliable battery supply chains for the transition to electric vehicles.
Samsung SDI said Aug. 11 that it signed an agreement with GM to jointly develop advanced prismatic batteries for future electric vehicles. The batteries will apply Samsung SDI’s technologies focused on higher energy density and faster charging, and are expected to be used in GM’s next generation EV models.
The companies will continue their battery technology cooperation while changing the ownership structure of their U.S. manufacturing operation.
Samsung SDI will acquire GM’s entire 49.99% stake in Synergy Cells, the joint venture created by the two companies in 2024 to build an electric vehicle battery factory in New Carlisle, Indiana.
The facility was planned with a combined investment of $3.5 billion and is designed to have annual production capacity of 27 GWh. Once the transaction is completed, the plant will become Samsung SDI’s first wholly owned battery manufacturing facility in North America.
For Samsung SDI, the move provides direct control over a U.S. production base at a time when battery makers are expanding manufacturing capacity closer to major automotive markets.
The company plans to use the Indiana factory to produce next generation EV batteries developed with GM. However, the facility will not be limited to electric vehicle batteries.
Samsung SDI also plans to install production lines for energy storage system batteries, allowing the plant to serve the growing North American ESS market alongside the EV sector.
The expansion reflects Samsung SDI’s effort to diversify its role in the U.S. battery market. While electric vehicle demand remains a major focus, energy storage systems are becoming another important application for large-scale battery production.
Samsung SDI has already been expanding its ESS business in the U.S., securing a series of large battery supply agreements with major energy companies since last year.
The decision also preserves the relationship between Samsung SDI and GM. Although Samsung SDI will take full ownership of the Indiana facility, the two companies will continue working together on battery technologies designed for future electric vehicles.
Rather than ending their cooperation, the companies are adjusting their partnership structure: Samsung SDI will operate the manufacturing base independently, while GM will continue collaborating on the battery technology it needs for future EV models.
For Samsung SDI, the Indiana plant represents more than a new factory. It gives the Korean battery maker a direct production base in the U.S. market while allowing it to respond to demand from both electric vehicle manufacturers and energy storage customers.
