General Motors China To Open Battery Factory In Shanghai

3 months ago by Mark Kane 14

Buick Velite 5 Teaser

GM China prepares for the introduction of more plug-in models.  In fact, GM states that two-thirds of all new plug-in vehicle (BEVs, EREV and PHEVs) launches between 2017 and 2020 are to be dedicated models.

Cadillac CT6 PHEV

Buick Velite 5 (the Chinese version of Chevy Volt) is one of those newcomers.

One of the activities, to be ready for plug-ins (and of course to qualify for generous subsidies), is the creation of a new battery assembly plant in Shanghai, that will be opened later this year.

“GM is actively engaged in the introduction of new energy vehicles in China. From 2017 through 2020, two-thirds of new energy vehicles launched by GM in China will be dedicated new energy vehicles. A case in point is the recently announced Velite 5 from Buick, which is the brand’s first extended range electric vehicle (EREV).

This will enrich GM’s green product portfolio in China as the company continues to tap its full range of alternative propulsion solutions to meet diverse consumer needs. Besides EREVs, GM will also introduce plug-in hybrid and pure battery electric vehicles. To support the growth of its new energy vehicle lineup, it will open a battery assembly plant in Shanghai later this year.

The GM China Advanced Technical Center in Shanghai is validating Super Cruise for the domestic market. The autonomous vehicle technology is set to be introduced in China in the near future, following its global debut in the Cadillac CT6 in the United States this year.

As a driving force of GM’s connectivity strategy, OnStar has been leveraging local insights through data analysis facilitated by the OnStar China Lab. In addition, Yi Wei Xing – which GM invested in last year to explore China’s sharing market – has established itself as the top provider of technology solutions in China for the car-sharing business.”

Tags: , ,

14 responses to "General Motors China To Open Battery Factory In Shanghai"

  1. georgeS says:

    This article says it is an “assembly plant.

    “So where are they getting their battery cells?

    I thought we just had an article stating that LG chem has be booted out of China.

    1. Taser54 says:

      GM owns the chemistry of its batteries, shouldn’t be a problem.

      1. Jake Brake says:

        Assuming GM owns their own chemistry, why do they use LG cells then?

        1. Pushmi-Pullyu says:

          GM has been using LG’s cells for years now, haven’t they? And besides, LG’s new battery chemistry cells, which are being used in the Bolt EV, are probably cheaper per kWh than anybody else’s except possibly Tesla’s 2170 Gigafactory cells. And even there, I wouldn’t take any bets despite what many people have claimed.

          If GM does own “their own” battery tech, that doesn’t mean it’s worth putting into production. Likely anything they have is outdated and no longer cost-competitive.

          1. Taser54 says:

            GM owns the Bolt chemistry.

            1. Terawatt says:

              Source?

              Or because you say so?

  2. Four Electrics says:

    Good move. Nobody will produce batteries cheaper than the Chinese.

  3. Pushmi-Pullyu says:

    Well, that’s certainly a smart move on GM’s part*, and it’s great to see GM finally start moving to build their own battery factories. It’s about time!

    But will the battery factory or factories that GM will build in China supply battery cells only for the EVs that GM builds in China, or will they have sufficient capacity for GM’s other EVs?

    The lackadaisical sales of the Chevy Bolt EV demonstrate pretty clearly that GM still isn’t interested in making and selling plug-in EVs in large numbers. But when they finally do start doing that, they’ll certainly need their own battery factories; ones which together will dwarf the output of Tesla’s Gigafactory 1.

    *That is, it’s smart unless the increasing political strains between China and the U.S. cause China to put even more restrictions on U.S. companies manufacturing cars (and EV batteries) in China. Unfortunately, that seems to be a very real possibility. 🙁

    1. ModernMarvelFan says:

      “The lackadaisical sales of the Chevy Bolt EV demonstrate pretty clearly that GM still isn’t interested in making and selling plug-in EVs in large numbers”

      So the customer demand isn’t part of that equation?

      GM wanted to sell 45k Volt per year back in 2011 and 2012, apparently only 24K buyers showed up in the best year.

      The 20K other “potential” Volt buyers just talks cheaply on all EV related websites and find things to nitpick.

  4. Miggy says:

    Great to see GM supporting EV sales in China over the USA and their other markets.

    1. soeone says:

      What about the US govt favoring cheap fracking over making EVs ???

      1. needa says:

        Fracking solves an immediate need. It doesn’t matter if they want to back making EVs as there is no way to produce them without the batteries. There is a reason why everyone is building battery production factories right now.

  5. Martin T. says:

    Waiting for the second part of the story when GM announces the sale or closure of GM manufacturing in South Korea (Loss making just like Opel, Holden etc.)

    While funneling money into China.

    Interesting times indeed.

    1. Dav8or says:

      Not only Korea, but here too. Most Americans don’t give a damn where there stuff comes from and they seem fine with manufacturers increasing their profits by eliminating American jobs and not passing any of the savings on to the consumer.

      Chinese made Cadillacs and they cost just the same. I had hoped never to see the day, but here we are. Everyone seems to want to see the rebound of the middle class here in the states, but it’s tough for me to see that happening when American industry forgoes the American middle class in favor of the Chinese middle class.

Leave a Reply