BREAKING: Detroit 2009 - GM building Volt battery packs with LG Chem cells
by Sam Abuelsamid on Jan 12th 2009 at 10:19AM 
After showing off its latest cars and concepts yesterday at the Detroit Auto Show, General Motors reserved its second press conference today for battery news. As has been rumored for months, South Korea's LG Chem has been selected to supply the lithium-ion cells that will power the Chevy Volt. However, LG Chem and its U.S. subsidiary will not be supplying full packs to GM. Instead, GM has decided to keep the pack production in-house along with the battery management systems and all the power electronics. The automaker will be building a pack assembly facility here in Michigan, with LG Chem only supplying the cells.
GM is currently working on finalizing the site selection and working with local and state officials on the approvals. The site of the factory is expected to be announced soon with site preparation starting early this year. Tooling of the factory should be completed by early 2010 with production starting soon afterward.
GM also announced a new partnership with the University of Michigan to create the Advanced Battery Coalition for Drivetrains (ABCD). ABCD will focus on researching batteries and integration issues with a specific focus on vehicle applications. Press release after the jump.
[Source: General Motors]
PRESS RELEASE:
Chevrolet Volt Battery Packs Will Be Manufactured by General Motors in the United States
* GM will establish the first lithium-ion battery pack manufacturing facility in the United States operated by a major automaker
* LG Chem has been selected to supply the lithium-ion battery cells for the Chevrolet Volt
* Advanced battery strategy strengthens GM's capabilities to develop hybrid and electric vehicles
* GM will open a new automotive battery lab - the largest of its kind - in the United States to further strengthen design, development and testing capabilities
* A partnership with the University of Michigan has been established to develop a specialized curriculum for battery engineers
Volt Battery 101 and Glossary of Terms [pdf]
DETROIT - The Chevrolet Volt, an extended-range electric vehicle that delivers up to 40 miles of gasoline- and emissions-free electric driving, will use battery packs manufactured in the United States by General Motors, Chairman and CEO Rick Wagoner announced at the North American International Auto Show.
GM will establish the first lithium-ion battery pack manufacturing facility operated by a major automaker in the United States to produce the Volt's battery pack system. It consists of lithium-ion cells that are grouped into modules, along with other key battery components.
The plant will be located in Michigan, subject to negotiations with state and local government authorities. Facility preparation will begin in early 2009, with production tooling to be installed mid-year and output starting in 2010.
"The design, development and production of advanced batteries must be a core competency for GM, and we've been rapidly building our capability and resources to support this direction," Wagoner said. "This is a further demonstration of our commitment to the electrification of the automobile and to the Chevrolet Volt - a commitment that now totals more than $1 billion."
The Volt's lithium-ion battery cells will be supplied by LG Chem. Compact Power Inc., a subsidiary of LG Chem based in Troy, Mich., will build battery packs for Volt prototype vehicles until GM's battery facility is operational. A joint engineering contract with Compact Power and LG Chem also has been signed to further expedite the development of the Volt's lithium-ion battery technology.
GM has been testing battery packs for the Volt, powered by cells from LG Chem, for the past 16 months. These tests - both on the road and in the lab - have provided invaluable insight into lithium-ion battery technology.
"Our selection of LG Chem was based on performance, production readiness, efficiency, durability and LG Chem's demonstrated track record of exceptional quality," Wagoner said. "At GM, we believe the technical strengths of LG Chem, combined with our own engineering and manufacturing expertise, will help position us as a key player in the development of electrically driven vehicles today and in the future."
GM's advanced battery strategy
"Our announcements are part of a comprehensive advanced battery strategy for GM that is expanding along two pathways," Wagoner said. "First, we're identifying core competencies - such as battery research, development and assembly - and integrating these fundamentals into our product development and manufacturing operations. We believe this will become a competitive advantage for GM, and will be critical to GM's long-term success. Secondly, we're building a roster of battery suppliers and academic experts from around the globe, and leveraging their specialized abilities to develop battery chemistries and cell designs, as well as future automotive battery engineers."
Key elements of GM's advanced battery strategy include:
* Opening the largest automotive battery lab in the United States (31,000 square feet / 3,251 square meters) that will be capable of testing new energy storage system technologies, as well as lithium-ion and nickel-metal hydride batteries, to accelerate the domestic development of advanced battery technology and lead GM's network of existing labs in Honeoye Falls, N.Y.; Warren, Mich.; Torrance, Calif.; and Mainz-Kastel, Germany. This new battery lab will be located in Michigan, subject to final negotiations with state and local authorities
* Continuing to ramp-up "in-house" battery-development capability by increasing the staff of GM's global hybrid, electric vehicle and advanced battery organization to several hundred engineers in 2009, including more than 200 currently dedicated to advanced battery technologies
* Joining with the University of Michigan to create a new automotive advanced battery lab in Ann Arbor, Mich., and a specialized curriculum within U of M's College of Engineering to develop automotive battery engineers
* Continuing to grow and establish a robust lineup of battery suppliers for cell development and manufacturing and battery integration expertise, with companies such as LG Chem, A123Systems, Hitachi Ltd., Compact Power and Cobasys
* Collaborating with government organizations and industry consortia, such as the U.S. Department of Energy; United States Council for Automotive Research; the United States Advanced Battery Consortium LLC; and Electric Power Research Institute to advance the development of hybrids, plug-ins and electric vehicles, and related electric infrastructure to support those vehicles
Energy alternatives and advanced technologies that reduce dependency on petroleum, improve fuel economy and reduce emissions are the keys to developing sustainable transportation. GM is pursuing several options to best meet the varied needs of customers around the world - from advanced gasoline, diesel and biofuel technology to electrically assisted vehicles such as hybrids, plug-in hybrids and - ultimately -electrically driven extended-range electric vehicles and hydrogen fuel cell vehicles. GM believes that electrically driven vehicles, based on battery and hydrogen fuel cell technology, offer the best long-term solution for providing sustainable personal transportation.
In June 2008, the GM Board of Directors approved the Chevrolet Volt program and Voltec™ propulsion system for production starting in late 2010. For trips of up to 40 miles, the Volt is powered by electricity from the grid and stored in its lithium-ion battery pack. Beyond 40 miles, a small engine-generator creates additional electricity to extend the range of the Volt several hundred additional miles. The development of the Volt's 16 kWh T-shaped lithium-ion battery, which is roughly 6 feet long (1.8 meters) and weighs nearly 400 pounds (181 kg), is key to the Volt's success. The production-intent design was revealed in September 2008.
General Motors Corp. (NYSE: GM), the world's largest automaker, has been the annual global industry sales leader for 77 years. Founded in 1908, GM today employs about 252,000 people around the world. With global headquarters in Detroit, GM manufactures its cars and trucks in 34 countries. In 2007, nearly 9.37 million GM cars and trucks were sold globally under the following brands: Buick, Cadillac, Chevrolet, GMC, GM Daewoo, Holden, HUMMER, Opel, Pontiac, Saab, Saturn, Vauxhall and Wuling. GM's OnStar subsidiary is the industry leader in vehicle safety, security and information services. More information on GM can be found at www.gm.com.
Reader Comments (Page 1 of 1)
jharlan 10:54AM (1/12/2009)
I didn't hear anything about ultracapacitor research. In theory the newly proposed graphene ultracapacitor has one factor that rules over any battery. Ultracapacitors can cycle at least 500,000 times to existing batteries max 1000 cycle lifespan. It's a fascinating new technology if the engineering problems can be overcome.
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BillySharps 11:41AM (1/12/2009)
Incorrect. New chemistries will cycle 10,000 to 15,000 times before significant degradation of capacity or performance occurs.
harlanx6 11:53AM (1/12/2009)
Thanks, I did not know that. Can you give me a link so I can research it? Capacitors do have other advantages, in that they discharge more easily and recharge much quicker, but the new battery technology might be able to solve those problems also.
Chris M 3:33PM (1/12/2009)
AFAIK, the champ is the Altairnano LiIon battery using a LiTi spinel electrode, they've been tested to over 20,000 cycles with no appreciable degradation in capacity. Unfortunately, they are expensive and their energy density isn't as good as some other LiIon versions. The nano phosphate LiIon cells, such as the ones from A123, also show very high cycle counts.
Ultracapacitors do have three rather significant drawbacks. One is that the voltage varies linearly with charge and discharge, that means a complex buck/boost circuit is needed to get the fairly uniform voltage that most devices require. Another is very low energy density, less than with standard lead acid batteries. The third is that, due to the low energy density, the cost per Kwh stored is much higher than batteries.
harlanx6 8:53PM (1/12/2009)
It is a developing technology and there may be problems with it that are too expensive to solve. With graphene, however the charge density problem may be solved. Isn't there a company supposedly coming out with this technology that everyone thinks is just a scam? You probably already know that graphene is a carbon paper i atom thick arranged in a chicken wire type hex pattern that is the strongest substance known, but also has the ability to absorb electrons better than any other known substance, and has superconductor properties.
Tim 11:06AM (1/12/2009)
This is an excellent decision. GM can now shop pricing and utilize new cell technology as they are developed without having to change the pack form factor.
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stas peterson 10:38AM (1/13/2009)
Doing this provides some measure of safety from LG Chem pulling a "Sanyo" as was done to Ford with the Escape. Sanyo, despite firm contracts in hand seems to have diverted lots of its production to fellow Japanese auto makers and shorted Ford citing "production difficulties"..
LG Chem is already under contract to Korean automakers to provide as many batteries as they request;, so it is easy to see GM getting shorted as well. If A123's Michigan Factory existed, I could see them getting the contract but it doesn't. And they are at the mercy of their "tolling factories " in China, so they are were not a realistic supplier this time around.
All the automakers build their own ICE engines; and all the major foreign makers are treating battery manufacture as an equivalent needed in-house technology. But the US automakers don't have the money,,and haven't been able to pursue it...yet. As and if they get healthy, I expect that will become a priority, just as it is with Toyota and Nissan and others. Thsi si a half step alongthe path.
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mainline 5:09PM (1/13/2009)
A123 is mass. based and a spin off of G.E. check out A123 site they also have a developers kit
Sam Abuelsamid 6:47AM (1/14/2009)
Actually A123 is not spun off from GE, they are spun off from MIT. GE invested in the company later.
Herm 9:47PM (1/12/2009)
They can also scramble and quickly use other providers when LG cuts them off, or maybe another provider gives them a better deal. Not a good idea to be totally dependent on another company for your survival.
The lab/factory located in Michigan could be bad news for future low cost production, perhaps they should have located it a "right to work" state.
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1-12-2009 @ 11:06AM
Tim said...
This is an excellent decision. GM can now shop pricing and utilize new cell technology as they are developed without having to change the pack form factor.
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DasBoese 7:32AM (1/13/2009)
It might also be that LGchem simply was unable to expand that rapidly, or was unwilling to bear the risk of such an investment.
Be as it might, it's probably mutually beneficial, seeing as GM has more freedom in choosing their suppliers and can better integrate future improvements, while LGchem can concentrate on their core business which will be good for economies of scale.
In addition, it ought to encourage both LGchem and its competitors to keep the research going.
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