Powering Up America's Heartland: Kokomo Chosen For Stellantis-Samsung SDI's Second US StarPlus Energy Gigafactory

Stellantis N.V. (NYSE: STLA), in a joint venture with Samsung SDI, disclosed Kokomo, Indiana, as the second site for the electric vehicle battery manufacturing facility in the U.S.

As part of the StarPlus Energy joint venture, the companies will invest over $3.2 billion to co-locate a new facility with a gigafactory currently under construction, creating 1,400 new jobs.

The combined annual production capacity of Kokomo gigafactories are expected to reach 67 gigawatt hours (GWh).

The production at the second facility is projected to start in early 2027, with an annual capacity of 34 gigawatt hours (GWh). 

Notably, the first gigafactory is anticipated to commence production in Q1 2025.

The total investment for both facilities is expected to be more than $6.3 billion (€5.5 billion), creating about 2,800 new jobs.

As per its Dare Forward 2030 strategic plan, Stellantis plans to reach 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 U.S. by 2030. Consequently, the company is securing about 400 GWh of battery capacity.

"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," said Mark Stewart, Stellantis COO North America. "The BEVs coming to our North America brands play an important role in our drive to offer clean, safe and affordable mobility for all and achieve the bold goal of carbon net zero by 2038."

Also Read: Stellantis To Begin Production Of New Models At Italy's Melfi Plant: Report

Price Action: STLA shares are trading higher by 3.32% at $20.23 premarket on the last check Wednesday.