General Motors (NYSE: GM) is working with South Korean battery makers LG Energy Solution and Samsung SDI to introduce lithium iron phosphate (LFP) battery production at their joint U.S. factories, as the automaker seeks to lower the cost of its electric vehicles, South Korea’s The Korea Economic Daily reported, citing industry sources.
GM has reportedly asked both partners to equip production lines for LFP cells in their respective U.S. joint ventures, replacing the current nickel-cobalt-manganese (NCM) chemistry used in several models. The shift is intended to support a broader rollout of mid-range EVs such as the Chevrolet Bolt, Equinox, Blazer, and Silverado EV, the report said.
Samsung SDI will modify part of its Indiana plant — a joint venture with GM — originally built for nickel-rich NCM battery production, to manufacture LFP cells. Meanwhile, LG Energy Solution is expected to retrofit Ultium Cells plants in Tennessee and Ohio to accommodate LFP battery lines. These factories, which currently produce pouch-format NCM cells, may transition to prismatic cells, which are more compatible with LFP chemistry.
Citing industry estimates, the report noted that LFP cells could reduce battery costs by 20–30%, potentially slashing EV production costs by more than $6,000 per unit. This would support GM’s ambitions to introduce EVs priced under $30,000, aimed at overcoming the so-called “EV adoption chasm” as mainstream demand for electric vehicles lags behind expectations.
Longer-term, GM and LG are also said to be developing lithium-manganese-rich (LMR) batteries, a next-generation technology that combines the affordability of LFP with higher performance. The companies are targeting a 2028 market launch for the new chemistry, according to the report.
