SK On will provide batteries to Nissan for U.S.-made electrical autos, the 2 firms introduced Wednesday in a press launch.
Underneath the settlement, SK On will provide practically 100 gigawatt-hours of batteries to Nissan from 2028 to 2033. They will go into EVs produced on the automaker’s Canton, Mississippi, meeting plant beginning in 2028. Nissan plans to construct at the least 4 EV fashions at that plant, spanning each its primary model and Infiniti luxurious model.
This deal “will help” 1,700 U.S. jobs at SK On and entails a $661 million funding. Nissan is spending $500 million to prepared the plant for EV manufacturing, so not counting different suppliers the entire is effectively over $1 billion.
Nissan EV to be made in Mississippi
The deal is a sign that Nissan is lastly near starting EV manufacturing in Canton after a number of delays. In 2022, the automaker initially introduced plans to construct EVs on the Mississippi plant with a deliberate 2025 begin date. The beginning was later pushed again to 2027, after which 2028.
Nissan’s Mississippi plant at present makes the gasoline Altima sedan and Frontier pickup truck. SK On at present has two operational U.S. battery vegetation and is constructing 4 extra underneath partnerships. Whereas it at present works with Ford and Volkswagen, amongst others, that is the primary provide settlement between the South Korean agency and a Japanese automaker, Nissan famous.
2025 Nissan Leaf
Localized manufacturing, with battery manufacturing close to automobile meeting, is one thing Nissan already deliberate to emphasise, going again to its Ambition 2030 technique unveiled in 2021. However the specter of tariffs provides urgency. Honda is reportedly looking for a U.S. battery provide take care of Toyota as a response to that, for instance.
After what may need been a totally totally different future with Honda, Nissan is transferring forward with bold product plans introduced final yr. The Mississippi-built EVs will likely be amongst 30 new fashions the automaker plans to launch globally over the subsequent three years, together with 16 electrified fashions. That cohort will even embrace a Nissan Rogue hybrid that may lastly introduce the automaker’s e-Energy hybrid system to the U.S., in addition to a next-generation Leaf.
