Nathaniel Horadam’s Post

A Stellantis joint venture with Samsung SDI has won a commitment from the U.S. government for up to a $7.54 billion loan to help build two electric vehicle battery plants in Kokomo, Indiana. The project being built by StarPlus Energy LLC is expected to create at least 2,800 jobs at the plants and hundreds more at a nearby park for parts supply companies, the Energy Department said Monday in a statement. The loan still must be finalized, but the government said the commitment shows its intent to finance the project. To get the loan, StarPlus must develop a plan to engage with community and labor leaders to create good paying jobs. It also has to meet technical, legal, environmental and financial conditions before the government will fund the loan.   Stellantis #EV StarPlus Energy United States Federal Government   https://lnkd.in/g5AaQXEr       Automotive Analysis and Commentary – November 2024 - https://lnkd.in/gcSZ4pB8    

Stellantis and Samsung SDI just secured a conditional $7.54-billion loan from the U.S. Energy Department to build two EV battery plants in Indiana. 🚗🔋 These facilities aim to produce batteries for over 650,000 electric vehicles annually, creating thousands of jobs and reducing reliance on foreign supply chains. But there’s more to the story—this news follows Rivian’s $6.6-billion loan last month and General Motors’s surprising shift away from a similar partnership. Curious about the conditions, implications, and how this aligns with the broader EV landscape? Dive into the full article for insights. 🔗 👇 #EVs #ElectricVehicles #SustainableEnergy #Stellantis #EVBatteries #CleanEnergy #GreenTech

US electric carmaker #Lucid Group secures $1.5bn from #PIF! "#US #automaker #LucidGroup has secured $1.5 billion in new #funding from its #majority #shareholder, #AyarThirdInvestment Co., an affiliate of #SaudiArabia’s #PublicInvestmentFund. The deal includes $750 million in #convertible #preferred #stock via private placement and a $750 million #unsecured #delayed #drawterm #loan facility, subject to #certain #terms and #conditions, according to a statement. This is in line with #PIF’s aim to be a #global #investment #powerhouse and the world’s #most #impactful #investor, enabling the creation of new sectors and opportunities to #shape the #future global #economy while driving #Saudi #Arabia’s #economic #transformation. It also aligns well with #Lucid’s mission to expedite the #global #shift toward #sustainable #transportation and #energy by crafting the most #advanced #electric #vehicles available. The #EVmaker also #announced its #financial #results for the second quarter, which ended June 30. Lucid reported #revenue of $200.6 million on #deliveries of 2,394 vehicles during this period, according to a statement. The #carmaker expects to #manufacture approximately 9,000 vehicles in 2024." #autonews #automotivenews #news #auto #mobility #electricvehicles #electriccars #sustainability #sustainable #evmanufacturing #evmarket

European EV Battery Champion Northvolt Files for Bankruptcy Amid Cash Crisis Swedish EV battery manufacturer Northvolt has filed for Chapter 11 bankruptcy protection in the US, with only enough cash to keep operations running for about a week, according to Reuters. Financial Struggles Hit Hard The company, which produces battery cells for electric vehicles, is facing a severe liquidity crisis with just $30 million in cash against $5.8 billion in debt. They’ve secured $100 million in new financing to support the bankruptcy process, with Swedish truck maker Scania offering an additional $100 million loan specifically for their Skellefteå manufacturing facility. Impact on European EV Industry This development is a significant setback […] by Haye Kesteloo #ev #BYD #China #Europe #Make #SEC #Tesla

Honda Motor Co., announced that it plans to build a comprehensive EV value chain in Canada with an approximate investment of CAD$15 billion (USD$11 billion), including investment by joint venture partners, to strengthen its EV supply system and capability to prepare for a future increase in EV demand in North America. Honda has begun evaluating the requirements to build an innovative and environmentally responsible Honda EV plant and a stand-alone Honda EV battery plant in Alliston, Ontario. The proposed Honda EV value chain will also include a cathode active material and precursor (CAM/pCAM) processing plant through a joint venture partnership with POSCO Future M Co., Ltd. and a separator plant through a joint venture partnership with Asahi Kasei Corporation, with announcements to follow in their respective Ontario communities. Honda expects that electric vehicle production will begin in 2028. Once fully operational, the EV plant will have a production capacity of 240,000 EVs per year and the EV battery plant will have a capacity of 36 GWh per year. In addition to securing the current employment level of 4,200 associates at its two existing manufacturing facilities in Ontario, Honda estimates it will add a minimum of 1,000 new associates for the EV and EV battery manufacturing facilities. The investment in the new facilities will also create significant spinoff jobs across all sites, including in the construction sector. Honda has begun the process of evaluating the scope of its investment and completing negotiations with its joint venture partners. This work is expected to be finalized during the next six months and more details will be shared at that time. To support this project, Honda is collaborating with the governments of Canada and Ontario to drive innovation in low-emissions manufacturing by accessing performance-based initiatives available through the federal government’s new Investment Tax Credits and provincial direct and indirect incentives.

🔋 Swedish battery giant Northvolt files for bankruptcy 🌍 Swedish battery maker Northvolt filed for Chapter 11 bankruptcy protection in the U.S., delivering a major blow to Europe’s electrification ambitions. Once one of Europe’s most valuable privately held tech firms, the company said Thursday that the voluntary move will allow it to restructure its debt, scale back its business and secure a sustainable foundation for its continued operation. A partner of major European automakers, Northvolt produces lithium-ion batteries for the electric vehicle industry, which has recently been rocked by intensifying competition from the likes of China. The Stockholm-based business has long been regarded as Europe’s best hope of building a homegrown EV battery champion. More recently, however, the company has been struggling to stay afloat while navigating a major cost-cutting drive. ✍ Here's the full story: https://lnkd.in/e3-9HwET #EVs #autos #electrification

Narratives crush rising tides. Stick to facts, you’ll do better. “Despite raising $13.8 billion in funding, the company generated only $128 million in revenue in 2023” “Reasons For Failure: Weak Market Demand: Despite the global EV push, demand for electric vehicles in Europe has softened, leaving automakers with excess inventory and scaled-back ambitions. Some automakers, delayed or downsized electrification projects, directly impacting Northvolt’s revenue pipeline. Operational Challenges: Scaling production is notoriously difficult, particularly in an industry as capital-intensive as battery manufacturing. Northvolt struggled to meet delivery timelines, losing a $2B contract with BMW in June after delays earlier in the year. Leadership Missteps: Northvolt tried to scale too quickly, taking on ambitious projects (like their green gigafactory) without ensuring its core operations were running smoothly. Former CEO Peter Carlsson admitted, “I should have probably pulled the brake earlier on some of the expansion paths in order to make sure that the core engine was moving according to plan.”. Financial Mismanagement: Northvolt's financial health deteriorated sharply, with net losses escalating from $285 million in 2022 to approximately $1.2 billion in 2023. #getoutside

Northvolt seeks 200 million euros to stabilise finances short-term Scania spearheads talks, BMW not involved in fundraising Northvolt faces production issues and competition from China German government says Heide factory project unaffected. Northvolt is in talks with investors and lenders to secure about 200 million euros ($218 million) in short-term funding, three sources familiar with the matter said, as the Swedish maker of batteries for electric vehicles seeks to stabilise its finances. The talks have been taking place this week, one of the sources said, adding that the company still aims to raise a larger amount of capital for the long-term. The sources declined to be identified because the matter is confidential. Northvolt has gone in a matter of months from being Europe's best shot at a homegrown electric-vehicle battery champion to racing to raise funds. A second source said it was unclear how long the new funding being discussed could sustain the lithium-ion battery maker, but that it would not be enough in the long term. Late on Thursday, Northvolt said it would be able to pay 287 million Swedish crowns ($27.59 million) of taxes that fall due on Monday. Reuters had earlier reported that it was seeking to sell redundant battery materials to raise cash. #electromobility #evs #mobilitysolutions #futureisnow https://lnkd.in/dQi2G3mB

Northvolt, the Swedish EV battery manufacturer, recently filed for Chapter 11 bankruptcy in the U.S., citing over-expansion and fierce competition from Chinese battery makers. Despite raising over $13.8 billion in equity and public funding since its founding in 2016, the company was burdened with $5.8 billion in debt and only $30 million in cash at the time of filing. Key setbacks included the loss of a $2.1 billion contract with BMW and slower-than-expected demand for electric vehicles in Europe. Northvolt hopes to restructure and secure additional funding by early 2025 to continue operations. The bankruptcy has significant implications for Europe's ambitions to reduce dependency on Chinese battery manufacturers, who dominate 85% of global production. European governments are now emphasizing strategic initiatives to boost local production and diversify raw material sources. Volkswagen, a major investor in Northvolt, has already written down much of its stake, further complicating the outlook for European EV manufacturing. https://lnkd.in/d6DUz3uv

Northvolt Swedish battery maker Northvolt has been considering bankruptcy protection in the United States as one of several options to navigate its financial struggles, according to two sources familiar with the matter, as reported by Reuters. Once viewed as Europe’s best hope for a homegrown electric vehicle battery champion, Northvolt has recently faced severe challenges, including production issues, the loss of a major customer, and difficulties securing additional funding. As a result, the company is now scrambling to stay afloat. Personally, I believe hydrogen could be a better solution for future cars. However, if Europe wants to strengthen its economy and secure its position in the global market, there are more effective strategies to consider than raising taxes on Chinese vehicle imports. Such a tax could have negative economic repercussions unless this vehicles are subsidized by the Chinese government, which could be seen as unfair competition. A more sustainable approach would be to focus on creating standardized regulations for batteries. For instance, A standardized battery size and connection system is essential for the widespread adoption of electric vehicles (EVs). To achieve this, a universal battery design must be established, with uniform dimensions, electrical specifications, and connection types across all vehicles, regardless of brand. This standardization would allow batteries to be easily swapped between different makes and models of EVs, offering greater flexibility for consumers, reducing manufacturing costs, and facilitating the development of a more integrated charging infrastructure. Moreover, standardized batteries would enhance the scalability of EV production, simplify supply chains, and promote competition by allowing consumers to choose from a broader range of battery options. Also requiring that batteries sold in Europe be at least >95% recyclable would drive innovation in recycling technologies, reduce dependency on external suppliers, and ensure that Europe has greater control over its own raw materials in the future. This would help create a more resilient and sustainable economic ecosystem for the European automotive and energy industries.