The factory is expected to begin production in 2025, and it will eventually supply electric vehicles and hybrids built in the region.
The alliance says the partners will jointly launch 35 new EVs over the next five years. And they will pursue a common strategy to secure global battery production capacity of 220 gigawatt-hours by 2030.
Mercedes has set the stage for the mass production of luxury electric vehicles in the U.S. And its massive Alabama plant will be key in taking the fight to EV kingpin Tesla.
Toyota Motor North America's announced plans to build a battery plant may require the Japanese automaker to build another assembly plant in the U.S.
Automakers and battery companies are spending unprecedented sums of money as they build out North America's EV supply chain.
Toyota's announced a $1.29 billion battery plant in Liberty, N.C., will have capacity for 1.2 million battery packs per year, suggesting more local investment will follow.