GENERAL Motors is planning to sell its half of a planned $3.5 billion electric-vehicle battery joint venture in Indiana to partner Samsung SDI, Bloomberg News reported on Monday, citing people familiar with the matter.
Reuters had reported earlier this year that construction at the plant had slowed amid weak demand for EVs.
GM and other automakers pulled back on EV manufacturing following the loss of a $7,500 federal tax credit last September. While automakers continue to build and sell EVs, they have lowered factory output to match demand.
The joint venture was announced two years ago and was initially expected to have an annual production capacity of 27 gigawatt hours, with an aim to start mass production in 2027.
Samsung SDI will buy the 680-acre property, take over the joint venture and own the battery-making facility in New Carlisle, Indiana, the Bloomberg report said.
In March, GM and LG Energy Solution had also announced a decision to transform another EV battery plant in Tennessee to make batteries for energy storage systems.