(Seoul=NSP NEWS AGENCY) = Samsung SDI has signed a definitive agreement with General Motors (GM) to establish a joint venture for the production of electric vehicle (EV) batteries in the United States.

The new joint venture will be located in New Carlisle, Indiana, on a site covering 2.77 million square meters (approximately 686 acres). This collaboration is expected to significantly boost the local economy by creating over 1,600 jobs.

With an initial investment of around $3.5 billion, Samsung SDI and GM plan to establish a plant with an annual production capacity of 27 GWh, aiming for mass production by 2027. The production capacity is expected to expand to 36 GWh in the future.

The joint venture will manufacture high-performance, high-nickel NCA (Nickel-Cobalt-Aluminum) prismatic batteries, which will be used in GM’s upcoming electric vehicles. The project is anticipated to make a substantial contribution to local economic growth through job creation.