What do good rom-coms and electric vehicle batteries have in common? They’ve got the right chemistry.
To that end, the US auto industry is working to commercialize lithium iron phosphate (LFP), a battery chemistry that’s popular in China, as the sector aims to deliver more affordable EVs.
On Monday, Ultium Cells, a joint venture between General Motors and South Korean battery manufacturer LG Energy Solution, announced plans to upgrade its battery cell manufacturing plant in Spring Hill, Tennessee, “to scale production of low-cost lithium iron phosphate battery cells,” according to a news release.
Ultium Cells will start the process of converting battery cell lines at the plant for LFP production later this year, with plans for commercial production to start “by late 2027.” GM plans to incorporate the battery chemistry into its EV lineup alongside nickel-rich batteries, the industry norm today, and lithium-manganese-rich batteries.
“At GM, we’re innovating battery technology to deliver the best mix of range, performance, and affordability to our EV customers,” Kurt Kelty, GM’s VP of batteries, propulsion, and sustainability, said in a statement.
Andy Oury, a battery engineer and business planning manager for Kelty, previously told Tech Brew that GM would continue to use nickel-rich batteries for vehicles requiring the longest range, while introducing LFP batteries on entry-level vehicles and LMR batteries “in the middle.”
Another Ultium Cells plant in Warren, Ohio, will continue producing battery cells with nickel cobalt manganese aluminum chemistry, per the release. GM said its goal in introducing LFP battery tech to its EV lineup is to reduce battery pack costs compared to the nickel-rich chemistry it uses in its EVs today.
Pros and cons: Lowering battery costs is viewed within the EV sector as crucial to bringing down EV prices.
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“By far, the biggest factor that determines the range and cost of an electric car is the battery,” IDTechEx wrote in a January research note on LFP batteries. IDTechEx’s research indicates that LFP batteries made up 40% of the global EV market in 2024, and researchers see “a strong opportunity for LFP to continue its growth outside of China,” especially in light of improvements to energy density.
“LFP has a number of advantages over the nickel-rich chemistries that are predominantly used in North America today,” Sam Abuelsamid, VP of market research at Telemetry, told Tech Brew. “The nickel provides for a higher energy density…But nickel cells are much more susceptible to thermal runaway,” which raises the risk of battery fires that are difficult to extinguish.
LFP has lower energy density compared to nickel-rich chemistries, but it’s cheaper, made up of materials that are more readily available, and safer, Abuelsamid said. Despite having lower energy density, he explained, manufacturers can make up the difference by assembling LFP battery packs with more active cell material.
Ford is building its own LFP battery plant in Michigan and licensing technology from Chinese battery maker CATL. The automaker plans to start production on prismatic LFP battery cells and packs next year.
Lisa Drake, Ford’s VP of technology platform programs and EV systems, told reporters during a recent tour of the under-construction facility that Ford executives opted to license the technology rather than continue to invest time and money into their own R&D efforts, in the interest of speed.
“I think in the coming years,” Abuelsamid said, “we will probably see a lot more adoption of LFP in North America just because of its cost advantages and safety advantages compared to nickel cells.”