GM Partners to Build EV Component Factories
General Motors has formed two new partnerships to source components for electric vehicles, the company announced.
The first partnership, between GM and MP Materials, is to develop a fully integrated U.S. supply chain for rare earth magnets. Under the long-term agreement, MP Materials will supply U.S.-sourced and manufactured rare earth materials, alloy and finished magnets for the electric motors used in the GMC HUMMER EV, Cadillac LYRIQ, Chevrolet Silverado EV and more than a dozen models using GM’s Ultium Platform, with a gradual production ramp that begins in 2023, the company said.
Neodymium-iron-boron (NdFeB) magnets are critical inputs that enable electric motors to transform electricity into motion. Although development of permanent magnets began in the U.S., there is virtually no domestic capacity to produce sintered NdFeB magnets today, the company said. This strategic collaboration seeks to accelerate the restoration of the U.S. rare earth supply chain at commercial scale with high resiliency and environmental sustainability.
MP Materials owns and operates the Mountain Pass rare earth mine and processing facility in California, the only active and scaled rare earth production site in America, the company said. Rare earth materials sourced from Mountain Pass will be transformed into metal, NdFeB alloy and magnets at a new production facility MP Materials today announced it will build in Fort Worth, Texas, delivering an end-to-end, U.S. supply chain.
The second partnership, between GM and VAC of Germany, calls for VAC to build a plant in the U.S. that will manufacture permanent magnets for the electric motors used in the GMC HUMMER EV, Cadillac LYRIQ, Chevrolet Silverado EV and more than a dozen other models using GM’s Ultium Platform. The new plant would plan to use locally sourced raw materials.
The plant is expected to start production in 2024. The location of the facility will be announced at a later date. The finished magnets will be delivered to facilities building EV motors for GM’s Ultium-powered EVs.
