Battery Partnership: A Billion-Dollar Project in Indiana

The two companies Samsung SDI and Stellantis are jointly embarking on a forward-looking project: Up to two manufacturing facilities for lithium-ion batteries are planned in Kokomo, Indiana. The funding of $7.5 billion is being made available by the Biden Administration to support the production of batteries for Stellantis electric vehicles, the U.S. Department of Energy announced. This project will not only significantly expand battery manufacturing capacity in North America but also reduce the United States' dependence on countries like China. The announcement follows the recent commitment of a $6.6 billion loan to Rivian Automotive, which is intended to benefit the construction of a battery factory in Georgia. Both projects are subject to approval and must meet strict technical, legal, environmental, and financial requirements. These developments come at a time when the growth of the electric vehicle market is stalling and traditional car manufacturers are adjusting their production targets. The financing package for StarPlus Energy includes $6.85 billion in principal and $688 million in capitalized interest. Meanwhile, President Donald Trump plans to potentially reverse the support for electric vehicles under Biden, such as the popular $7,500 tax incentive – which would require congressional approval. Vivek Ramaswamy, the designated co-chairman of the future Department of Government Efficiency, announced that he would scrutinize the billion-dollar projects. "We will closely examine each of these questionable last-minute deals starting January 20," Ramaswamy wrote in a post on X.