General Motors Co. recently announced plans to invest $625 million into a joint venture that will focus on mining electric vehicle (EV) battery raw materials in the United States, outlining a significant push towards mining these resources domestically. This effort will help meet the demand for EV battery materials and reduce the dependance on foreign supply chains.
GM will be partnering with MP Materials Corp., a Nevada-based rare earth materials producer. MP Materials will be the majority owner of the joint venture, with a 51% stake, while GM will hold the remaining 49%.
The investment will be used to build a facility adjacent to MP’s mine and processing plant, which are already the largest fully-integrated, US-based rare earth facility. The new facility is expected to convert the extracted materials into a form suitable for EV batteries, such as magnets.
By localizing the EV battery supply chain, General Motors aims to help increase production, reduce costs and decrease the environmental impact of their EVs. This investment also shows GM’s dedication to an all-electric future, helping to underpin the advancement of the EV sector in the US.
