General Motors is selling its 49.99% stake in its joint-venture electric vehicle battery unit to partner Samsung SDI. Reuters reports the South Korean battery maker announced on August 11 it will end its joint venture agreement to build a battery manufacturing factory with GM in Indiana, announced August 2024. Samsung will now acquire the U.S. automaker’s stake, citing weaker-than-expected electric vehicle demand, after the loss of a $7,500 U.S. federal tax credit in September 2025.
Samsung SDI said in a regulatory filing that it plans to use the wholly owned unit — SDI-GM Synergy Cells Holdings — to serve market demand for batteries across various applications, including energy storage systems (ESS) and EVs.
In March, GM and LG Energy Solution also announced a decision to diversify production at another EV battery plant in Tennessee to make batteries for ESS.
"The ownership change was made in consideration of market changes since the joint venture was announced – including the slower-than-expected growth of EV demand. The two partners have now decided to seek other forms of cooperation other than the joint venture," Samsung SDI said in a statement.
In a separate agreement, Samsung SDI and GM will jointly develop next-generation prismatic batteries for potential future EV applications, Samsung said.
.png?auto=format%2Ccompress&fit=crop&h=141&q=70&w=250)
