GM, LG Chem cook up new battery formula

Together, General Motors and LG Chem believe they'll crack the code on affordable, efficient batteries for GM's upcoming roster of electric vehicles.

Last year, GM and LG Chem announced a joint venture to build proprietary batteries, called Ultium, at a new plant in Ohio. The companies broke ground on the facility in April.

"Designing the battery system and the motors in house and having strong manufacturing partners enables us to do a whole vehicle system optimization," said Kent Helfrich, executive director of global electrification and battery systems. "Having a better understanding about how the batteries are made, and then afterwards how they are used in the vehicle … we think that in the long run, this is absolutely critical to having a superior vehicle."

The Ultium battery, which GM and LG Chem will manufacture through a $2.3 billion joint venture, will allow for a range of up to 400 miles on a full charge — about 50 percent more than the 259-mile range for the 2020 Chevrolet Bolt.

The battery will power vehicles across GM's future EV portfolio, which includes a large sedan, crossovers, SUVs and pickups. GM will also help develop two electric vehicles for Honda powered by the Ultium batteries. Honda will design the interior and exterior of the vehicles, which are expected to go on sale in the 2024 model year in the U.S. and Canada.

Ultium batteries are more versatile than those currently in the market. They have large-format, stackable pouch-style cells for more flexibility and optimal battery energy storage. They are made of a traditional nickel-cobalt-manganese combination, but GM also added aluminum, which allowed it to reduce the amount of costly cobalt by 70 percent.

"The system allows us to actually package it in the vehicle much more effectively," said Helfrich.

The batteries can be stacked flat or vertically based on vehicle dynamics. That flexibility is "super handy when you're doing a whole portfolio of vehicles," said Helfrich.

LG Chem brings electrochemical know-how to the joint venture, while GM brings scaled manufacturing knowledge, Helfrich said.

"When we put our manufacturing tools alongside what LG Chem already knows, it's already given us benefit," he said.

Most consumers are reluctant to buy EVs because of range anxiety, a high price point and limited charging stations.

GM has already expanded efforts to increase the number of charging stations across the U.S. Its involvement in battery manufacturing is another critical component for driving cost down and range up, Helfrich said.

It's important for GM to be involved in determining the battery chemistry, manufacturing technology and the efficiencies in the vehicle overall to move forward on its EV strategy, he said.

"If the energy density is higher, we can hit the big three," Helfrich said: "the cost of acquisition, the range and how you charge it."