Hyundai Motor Group and SK On have announced a joint venture to produce battery cells for electric vehicles in the USA, with a total investment of five billion dollars. The companies will each invest 2.5 billion dollars in a battery cell factory in Bartow County, Georgia, which is set to begin operations in the second half of 2025, with an annual production capacity of 35 GWh. This production capacity will be enough for 300,000 electric cars, which is crucial as Hyundai is currently constructing a new electric car plant, called Megaplant, in Bryan County, Georgia, which will have an annual capacity of 300,000 Hyundai, Kia, and Genesis electric cars.
Hyundai and SK On’s new battery cell factory in Bartow County will supply the Megaplant in Bryan County, which is located on the Atlantic coast, while the cell factory is located northwest of Atlanta. Hyundai and Kia operate other US plants, but the new Hyundai Motor Group Megaplant America in Georgia will be a pure electric car factory.
See also: Hyundai plans for 3 battery plants in the USA with capacity of 90 GWh per year
While Hyundai has not yet provided information about the type of battery cells and the origin of the raw materials, it is known that Hyundai Mobis, a Hyundai group supplier, will assemble battery packs with cells from the new plant and then deliver them to the group’s US production facilities for the production of Hyundai, Kia, and Genesis electric models.
SK On, which supplies battery cells for current E-GMP models such as the Hyundai Ioniq 5, Ioniq 6, Kia EV6, and Genesis GV60, is a strategic partner for Hyundai. The company already operates its first own US battery factory in the state and supplies Volkswagen and Ford from there.
See also: Hyundai secures EV batteries supply from SK ON for plants in North America
The joint venture between Hyundai and SK On is a significant step towards meeting the increasing demand for electric vehicles in the USA. As electric vehicles become more popular, reliable and efficient battery production is crucial. With the joint venture, Hyundai and SK On are working together to secure a reliable supply chain for electric vehicle batteries, ultimately benefiting the consumers who will have access to more affordable and sustainable electric vehicles.
