Ultium CAM plant being built in Canada gets government loans

Canadian federal and provincial governments are supporting half the $729.8 million (C$600m) costs for a new cathode active materials (CAM) processing plant under construction in Bécancour, Québec.

The plant is part of a joint venture between General Motors (GM) and POSCO, with production expected to ramp up in the first half of 2025, GM Authority reports.

GM indicates that government support, the region’s excellent industrial site, and access to low-carbon hydroelectricity were all important factors in determining new plant’s location, GM adds.

“Our investment in Bécancour-based CAM production is an important step in building a more secure and resilient North America-focused supply chain to support GM’s fast-growing EV production needs,” GM Authority reports GM EV raw materials centre of excellence executive director Sham Kunjur as saying.

CAMs are critical for the positive electrode in lithium-ion batteries and represent about 40% of the battery cell total cost, it adds.

The Québec plant will have an initial production capacity of 30,000 tonnes, with room for expansion.

GM recently announced it is set to build a fourth battery plant in the US in partnership with Samsung SDI, with South Bend, Indiana, the likely site.