Construction of the Ultium Cells Lansing Plant is continuing, but at a slower pace, as Korea-based GM partner LG Energy Solution Ltd. reduces the resources it is willing to commit to the facility in the face of changes in the automotive market and American political landscape.
According to Crain’s Detroit Business, LG Energy CEO Kim Dong Myung has the company pursuing a strategy of “adjusting the speed of overall investment” and urging employees to be flexible and efficient with the Ultium Cells Lansing project and similar endeavors.
Two factors are contributing to LG’s reluctance, including the possibility of Donald Trump’s election to a second term in the White House. If Trump wins the presidency, many analysts expect he will attempt to undo many of the Biden administration’s electric vehicle policies, possibly including the $7,500 tax incentive for EVs offered by the Inflation Reduction Act.
Along with the political prop for EV adoption potentially being knocked out by the election of Trump for a second term, faltering demand for EVs among the general public has also contributed to LG’s scale-back of construction efforts. GM brand Cadillac recently postponed its transition to an all-EV portfolio beyond the original 2030 deadline. Meanwhile, 46 percent of EV owners say they want to return to ICE vehicle use.
Many analysts think this weakening of electric vehicle demand is only a speed bump on the road to complete displacement of ICE and hybrid vehicles. However, LG appears reluctant to commit too many resources to American battery plants with demand in its current uncertain state.
A GM representative said they would not “engage in the speculation” about the Ultium Cells Lansing Plant in response to an inquiry from Crain’s. Construction of the plant began in June 2022 and had reached 35 percent completion by late March 2024. At that time, 100 percent completion was expected in late 2024 and production launch in early 2025. Exactly how much LG’s more cautious commitment affects this timetable is currently unknown.
Ultium Cells Lansing will use the services of about 1,700 employees when it eventually opens. The site will produce batteries very close to the GM Lansing Grand River, Lansing Delta Township and GM Factory Zero plants, making it easy to ship the components to the production locations.
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Comments
Times were changing naturally as of late, but what happened to Trump accelerated everything. People have had enough of the WEF agenda and propaganda. We’re done with it. Everyone in the world also saw DEI in action that day and on display as the ss director refused to answer questions in front of Congress today. Times are changing.
Do you wear your tinfoil hat all the time or just when you’re really zoning?
The Inflation Reduction Act was always a scam, from the name of it to the policies within.
Previously I was open minded to having a “city car” EV – now with the stupidity of these policies, along with the implicit threats and government coercion to take away ICE options – I’d rather commute in a 3500HD with a 6.6 gas engine.
Women have been carrying weapons and protecting politicians in the Secret Service for over 50 years…..and NONE of this has anything to do with cars. Stick the the topic at hand.
You completely missed the points or have no clue of their connection to the auto industry and in fact, EVERY industry. Everything I typed directly relates to today’s auto industry.
When these automobile manufacturers places all of their eggs into one basket by going full-speed ahead with the “EV’s are the future” Communist China agenda, they all shot themselves in the foot.
EV sales are stagnant. Not many people want them. Who wants to have to plug in their vehicle for ~45 minutes along the highway while on a 5-6 hour family trip? Who wants to get stranded in subzero temperatures during a snow storm? The CCP agenda is failing, but if you still buy their BS, be my guest. According to them, if you eat meat and drive an ICE vehicle, the oceans are going to boil in the next 5-10 years and all plant life will cease to exist within the next 10-15 years. Just remember, they are one of the largest (if not the largest) suppliers of Lithium on Earth. They want you to buy more EV’s so they can make more money at the hands of the 10 year old children, that are mining their Lithium.
Turn off the TV and open your mind.
Unfortunately in this country ignorance is bliss- from the average person on the street to the executive offices to the oval office.
I agree with you 100%. Most of the comments on this page are confirming that.
EV sales are growing, Tesla’s sales are declining, auto sales including ICE are declining.
The thing is EVs are growing at a slower pace than expected. A lot of that has to do with high interest rates and their high cost.
It is easy for their sales to grow when they are abysmal to begin with.
As a civil engineer, my mind operates in terms of logic and rationale. Now, you try it. For example, if I sell 1 EV this year, then sell 2 the next year, I can say that EV sales have doubled since last year and that would be the 100% truth, even though the numbers prove that I only sold 2 units. Now, do you understand how easy it is for the media to skew their “information”?
Your arrogance far exceeds your logic and rational. If you go from 1 unit to two units, sales are increasing. If you go from 2 units to one unit then sales are declining. Try that for your rational.
You can keep spinning it any way you please. The fact is, Tesla sales are declining and have to resort to price cuts on their hardware and software as well as layoffs. Same with Rivian and Lucid. Polestar is hurting and hemorrhaging money and Volvo wants to give it fully away to Geely. Other signs of automakers having to rollback their “ICE is dead” deadlines. But the most sobering of them all is the 46% of EV owners wanting to go back to ICEs. You can keep your head buried in the sand with the rest of the lefties but the numbers don’t lie. This isn’t China where the government can force the hand of the people. The people here are speaking with their wallets and have little interest in spending more for an all around downgrade.
Lots of ICE vehicles getting price cuts and diiscounts too. Just look at the various GMA headlines.
This this in. GM has delayed opening the Orion plant yet again by 6 months. This makes it a year and a half delay. Looks like Ford and the Oakville situation.
GM just needs to build ICE vehicles along side of EV ‘s and sell the EV’S on an order basis ! this way there isnt an oversupply and GM. can still make some sort of profit instead of unsold EV’s just hanging out in a parking lot !
Thats wrong, most evs have low to very low rates, bought down by the manufacturer, to get rid of the evs, that have no demand, on top of the taxpayer funded ev rebates.
EV sales are still climbing. Just not as fast.
ICE sales are stagnant or falling.
Go look at the numbers.
@ rEVolutionary
Put down the vodka and take a nap. Your trolling skills need some major help.
go look up the H1 2024 sales reports for yourself.
GM: EV sales increase by +5,573 (up 17%); ICE sales decreased by -10,734 (down 1%)
Ford: EV sales increase by +9,077 (up 61%); ICE sales decreased by -3,769 (down 1%)
Hyundai Group: EV sales increase by +23,386 (up 61%); ICE sales decreased by -18,764 (down 11%)
Toyota: “electrified” (EV, HEV, PHEV) sales increase by 95,693 (up 63%); ICE sales decreased by -43,328 (down 10%)
None of what you said is accurate or true.
you can go look up the H1 2024 sales reports for yourself.
GM: EV sales increase by +5,573 (up 17%); ICE sales decreased by -10,734 (down 1%)
Ford: EV sales increase by +9,077 (up 61%); ICE sales decreased by -3,769 (down 1%)
Hyundai Group: EV sales increase by +23,386 (up 61%); ICE sales decreased by -18,764 (down 11%)
Toyota: “electrified” (EV, HEV, PHEV) sales increase by 95,693 (up 63%); ICE sales decreased by -43,328 (down 10%)
Drill, Baby, Drill
That won’t help, we don’t use that oil because it’s the wrong type for gasoline production, we aren’t set up to refine it. We’re America, shouldn’t we be better than that?
I own many ICE cars from 1963 to 2021. Most of them are for personal pleasure driving and many of them have big V8s. My main real world vehicle is a 3 cyl turbocharged SUV. I consider the big V8 luxury cars to be play things. I wouldn’t like the money I’d spend on gas or the difficullty I’d have parking them so I don’t use them for regular routine driving. Climate change isn’t a HOAX, unfortunately. EVs aren’t a panacea, unfortunately. It’s a question of balance. The smart compromise decision on transportation is likely hybrid vehicles. THis will give manufacturers and the vehicle market time to adjust to the real world. EVs have their application to be sure but they’re not the answer to all issues.
This article fails to mention that GM is building or opening Ultium plants in Spring Hill TN and Warren OH. Perhaps production is being cut back at Lansing MI because it was being pushed past it production limits, and that is no longer necessary because GM can now produce at Spring Hill.