Reducing the price of batteries
In its drive towards full electric vehicle production by 2035, General Motors plans to reduce the cost of its most expensive component, the battery. GM is enlisting the support of partners and aims to create a long-lasting battery with a range of 805 km to 965 km.
General Motors (GM) is working on the next generation of its Ultium battery for electric vehicles, testing new chemistries and metals to reduce its cost. General Motors president Mark Reuss said this on Wednesday, speaking at an investor conference.
A 211% rise in GM shares over the past 12 months and a recent price high of $61.94 suggests that investors are welcoming the transformation of the largest US carmaker.
Earlier this month, GM released encouraging delivery results for 1Q 2021 the all-electric Chevrolet Bolt EV posted its best ever performance, with retail sales up 60%.
At the same time, GM's massive $27 billion investment over the next five years should lead not just to 1 million General Motors electric vehicles, but make them highly competitive with Tesla, Ford and others.
To achieve that goal, GM needs to produce new batteries that are durable, affordable and more powerful increasing the range of electric cars.
GM executives have said they aim to reduce the cost of battery cells to below $100 per kilowatt hour by 2025. According to the company's plans, future batteries for General Motors' electric vehicles will last at least 1.6 million kilometres and have a range of 805km to 965km between charges.
GM is focusing its efforts on finding and testing different battery chemistries, as well as reducing its reliance on expensive metals such as cobalt.
GM is preparing to deliver its first electric Hummer EV Edition 1 pickups this fall, with deliveries of cheaper versions of this vehicle and the Hummer EV 2024 SUV starting later. The Chevrolet Silverado electric pickup, unveiled this week, is expected to begin production late next year.
GM and LG are expected to announce a second electric vehicle battery plant in Tennessee in the near future to further support GM's goal of producing 1 million electric vehicles per year by 2025.