Samsung SDI Takes Full Control of $3.5B Indiana Battery Plant — SkimNews
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- Samsung SDI is taking full control of the New Carlisle, Indiana battery plant by acquiring General Motors’ 49.99% stake in their joint venture, converting it into a wholly owned subsidiary.
- GM exited the $3.5 billion joint venture after two years, offloading its equity in the plant amid slower-than-expected U.S. EV demand following the end of the $7,500 federal tax credit in September 2025.
- Samsung SDI cited market changes, including weak EV adoption, as the reason for the ownership shift and plans to add an energy storage system (ESS) production line at the factory.
- The New Carlisle plant will become Samsung SDI’s first wholly owned North American battery factory, with initial capacity of 27 GWh annually, scalable to 36 GWh, and over 1,600 jobs still expected.
- GM and Samsung SDI signed a separate agreement to jointly develop next-generation prismatic batteries, maintaining a supply relationship despite GM no longer owning manufacturing capacity.
- Samsung SDI’s shares fell approximately 4.5% on the news, reflecting investor concern over the company assuming full financial risk of the project.
Why it matters: GM reduces exposure to a capital-intensive battery plant just as soft EV demand follows the loss of federal tax incentives, while Samsung SDI bets on repurposing capacity for grid and data-center storage—sectors with stronger near-term demand. The $6 billion charge GM took on scaled-back EV plans underscores how quickly automakers are adjusting strategy when policy support shifts.
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