General Motors plans to produce lower-cost battery cells in Tennessee with LG Energy Solution. They will roll out lithium-iron-phosphate batteries, gaining popularity in the U.S. GM aims to start production by late 2027. Demand for electric vehicles has been weaker than expected, but automakers are investing in future technology.

GM currently produces nickel-cobalt-manganese-aluminum cells in Ohio and will continue to do so. The Tennessee plant will focus on EVs, including the Cadillac Lyriq. The factory employs about 1,300 people, with workers recently approving their first contract with the United Auto Workers union.

Ford is also entering the battery market, planning to produce LFP batteries in Michigan with CATL technology. The plant, expected to start production in 2026, has faced scrutiny for its ties to the Chinese company. Both automakers are working on lithium manganese-rich chemistries to address concerns around battery range and high EV prices.

Read more at Yahoo Finance: GM to produce lower-cost battery cells at Tennessee plant