Stellantis' latest deal will accelerate the electric muscle car dream
Comes at par with Tesla
With the Mustang Mach E and the Hummer EV, two out of three American carmakers have commenced treading on their EV roadmaps. With its shiny new Stellantis nameplate, the third major firm has yet to materialise any of its electrifying plans. Though, the recent report of an allied battery facility coming up does accelerate things for this JV conglomerate.
Stellantis made a recent announcement to acknowledge the memorandum of understanding with LG Energy Solution. The collaboration will see the latter produce battery cells and modules in America. As a cost-effective alternative to importing lithium-ion batteries, a new plant is being built in Michigan to produce battery cells indigenously.
The facility will have an annual production capacity of 40 gigawatt-hours, with production set to commence by early 2024. This puts it in the same ballpark as the Tesla-Panasonic Gigafactory alliance, with a 35 gigawatt-hour production capacity.
2024 is also the year Dodge is planning to launch its first all-electric muscle car. It could bear the Charger or Challenger nameplates or have an entirely new name as we’re yet to receive a confirmation on the same. Regardless, Stellantis aims to achieve at least 40 per cent of its overall sales from hybrid or all-electric vehicles.
“Today’s announcement is further proof that we are deploying our aggressive electrification road map and are following through on the commitments we made during our EV Day event in July,” said Stellantis CEO Carlos Tavares.
These upcoming facilities constitute Stellantis’ €30 billion ($34.8 billion) electrification investment plan for 2025. The output from this facility would get shared across all group brands, including Citroen, Fiat, Vauxhall, Peugeot. Stellantis, one of the world’s biggest automaker mergers of the FCA and the PSA group, has further pledged to offer an electric derivative for all its models retailing in the USA by 2029. This would include the likes of Jeep Wrangler and the RAM pickup trucks.