General Motors and Livent enter supply agreement for battery raw materials

Livent and General Motors have announced a multi-year procurement agreement under which Livent will supply GM with battery-grade lithium hydroxide, made primarily from lithium mined at Livent’s brine-based operations in South America.

The move is the latest in a series of steps that automakers are taking to secure future supplies of valuable raw materials for battery and EV scaling plans.

Lithium hydroxide is key to GM’s plans to make EVs with higher performance and more mileage. Livent’s lithium hydroxide will be used in GM’s Ultium battery cathodes, which will power electric vehicles such as the recently unveiled Chevrolet Blazer EV, Chevrolet Silverado EV, GMC HUMMER EV and Cadillac LYRIQ.

Livent will supply battery-grade lithium hydroxide to GM over a six-year period beginning in 2025. Over the course of the agreement, Livent will increasingly supply battery-grade lithium hydroxide to GM from its manufacturing facilities in the US, targeting 100% of Livent’s transfer downstream processing of lithium hydroxide for GM to North America. The agreement is expected to help secure GM’s supplies while helping Livent expand its North American capabilities.

GM said both GM and Livent are committed to responsible business practices and sustainable supply chains through industry and multi-stakeholder platforms. General Motors is a member of the Responsible Minerals Initiative (RMI), joined the Initiative for Responsible Mining Assurance (IRMA) in 2021 and plans to become carbon neutral in global products and operations by 2040. Livent is actively involved in an IRMA third-party assessment, has an EcoVadis gold rating for sustainability and has announced a target of overall carbon neutrality by 2040.

“We are building a strong, sustainable, scalable and secure supply chain to meet our rapidly growing EV manufacturing needs,” said Jeff Morrison, GM vice president, Global Purchasing and Supply Chain. “Over the course of the agreement, we will further localize the lithium supply chain in North America. In addition, it aligns with our approach to responsible sourcing and supply chain management and demonstrates our commitment to strong supplier relationships.”

“Importantly, GM has now entered into contractual arrangements with strategic partners for all battery feedstocks to support our goal of 1 million units of EV capacity by the end of 2025,” Morrison added.

Paul Graves, president and chief executive officer of Livent said: “We are delighted to enter into this long-standing relationship with GM, one of the most iconic brands in the automotive industry and a leading force in the transition to electrification. With a shared commitment to sustainability and responsible business practices, we look forward to building a broad partnership that will support GM’s electric vehicle strategy, its supply chain goals and the future demands of its growing EV fleet for reliable, high-performance lithium products. will support.

See also: Toyota/Panasonic Battery JV Ink US Lithium Supply Agreement

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