Stellantis, Samsung SDI Pick Kokomo for Second Gigafactory

Stellantis (NYSE: STLA) and Samsung SDI said today that Kokomo, Indiana will be the site for second so-called U.S. StarPlus Energy Gigafactory. That joint-venture plant – now plants – are a source of contention with the UAW, which is currently conducting strikes at Stellantis facilities over recognition of the union at plants that are part of the Electric Vehicle transition.

Stellantis has announced plans of reaching a 100% passenger car battery electric vehicle (BEV) sales mix in Europe and 50% passenger car and light-duty truck BEV sales mix in the United States by 2030. To achieve these ambitious sales targets, the Stellantis said it is securing ~400 GWh of battery capacity, at what are planned to be non-union facilities. Stellantis, which was created by a mega-merger of Fiat Chrysler (FCA) Renault and Peugeot, thus far is taking a ‘let them eat cake’ position with the unions. This is a high risk strategy, because the unions are sticking to their knitting, so to speak. Sean Fain, the head of the UAW has roots in Kokomo. Roughly 75% of Americans support  the United Auto Workers contract requests, according to a recent Gallop pole conducted in August.  (AutoInformed: Mobility Roll of the Die – FCA and PSA Merger)

The Second StarPlus gigafactory production start is planned for early 2027 and creates ~1400 new jobs. The StarPlus gigafactory is projected to start production during Q1 2025. In Canada, the Unifor represented autoworkers are also in contentious negotiations with Stellantis, but Ford Motor and General Motors have secured a settlement. (AutoInformed: UAW Expands Strike at GM and Stellantis; UAW Says First Stellantis Contract Offer is Deeply Unfair; An Awakened GM Agrees to Unifor Pattern Agreement)

“Our battery ecosystem is the foundation of our electrification strategy and our great partners Samsung SDI, the State of Indiana, and the City of Kokomo have created a compelling case for locating our sixth gigafactory in Kokomo,” claimed Mark Stewart, Stellantis COO North America.

Stellantis has announced plans of reaching a 100% passenger car battery electric vehicle (BEV) sales mix in Europe and 50% passenger car and light-duty truck BEV sales mix in the United States by 2030. To achieve these ambitious sales targets, the Stellantis said it is securing ~ 400 GWh of battery capacity, at what are planned to be non-union facilities. (AutoInformed Mobility Roll of the Die – FCA and PSA Merger)

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