Ultium Cells LLC, the joint venture between General Motors and LG Energy Solution, is set to upgrade its Spring Hill, Tennessee battery cell manufacturing facility to produce cost-effective lithium iron phosphate (LFP) battery cells, marking a major step toward affordable electric vehicles in the U.S.
The upgrade builds on the venture’s original $2.3 billion investment in 2021, and conversion of select production lines is scheduled to begin later this year. Commercial output of LFP cells is expected by late 2027.
“At GM, we’re innovating battery technology to deliver the best mix of range, performance, and affordability to our EV customers,” said Kurt Kelty, GM’s Vice President of Batteries, Propulsion, and Sustainability. “This upgrade at Spring Hill will enable us to scale production of lower-cost LFP cell technologies in the U.S., complementing our high-nickel and future lithium manganese-rich solutions.”
GM’s Ultium platform was designed to accommodate diverse cell chemistries and formats. While its Warren, Ohio plant will continue manufacturing nickel cobalt manganese aluminum (NCMA) cells—key to EVs with ranges exceeding 300 miles—the addition of LFP cells aims to offer more affordable battery packs and expand consumer options.
LG Energy Solution’s Executive VP, Wonjoon Suh, echoed GM’s commitment to innovation, noting, “This upgrade reflects the continued strength of our partnership and our joint push to deliver new chemistries and form factors that better address evolving EV market needs.”
Currently employing 1,300 workers, the Spring Hill facility will now play a pivotal role in domestic battery production diversity. The move strengthens U.S. capabilities in next-generation energy storage and supports long-term goals of cost parity between EVs and internal combustion vehicles.
Tennessee officials welcomed the announcement. “Ultium Cells’ additional investment and commitment to innovating its Spring Hill operations is a testament to our strong, enduring partnerships with GM and LG Energy Solution,” said Stuart C. McWhorter, Commissioner of the Tennessee Department of Economic and Community Development.
“This investment allows us to produce new chemistries alongside our existing cells,” added Kee Eun, President and CEO of Ultium Cells. “It ensures Ultium Cells stays ahead in battery cell innovation and remains a stable, long-term employer in the communities we serve.”
The upgraded facility reinforces the GM-LG alliance’s role in shaping the EV battery supply chain in North America, ensuring technological flexibility, cost competitiveness, and workforce development in the growing EV era.
