Korean tech giant Samsung SDI announced a seven-year contract to deliver electric vehicle batteries to Hyundai Motor, starting in 2026. Not only does this spell a significant stride for both companies, but it also serves as their first-ever collaboration in the realm of EV batteries.
Samsung SDI has a notable list of clients, including General Motors, Stellantis, and BMW. Hyundai will get prismatic batteries, fabricated at Samsung's facility in Hungary for its EVs destined for European customers from 2026 to 2032.
The exact financial contours of the agreement remain under wraps. However, whispers in industry corridors suggest Samsung SDI might be supplying enough batteries for up to about half a million EVs over the proposed seven-year span.
Earlier in the month, Samsung SDI announced it's looking to plow a cool 2.7 trillion won (approximately $2 billion) into the construction of a second EV battery facility in Indiana, in collaboration with Stellantis. If all goes according to plan, this facility will start churning out batteries by 2027.
The batteries slated for Hyundai will be the elite P6 variants of Samsung SDI’s prismatic lineup. Its specs reveal a 91% nickel-high NCA cathode and a unique silicon-based anode - promising some of the highest energy density around.
Samsung SDI and Hyundai are also keen on expanding their joint research endeavors, focusing on next-gen battery platforms. Hopefully that leads to more efficient, longer-lasting, and maybe even more affordable EVs in the coming years.
Samsung SDI, beyond its vast portfolio, holds a crucial position as one of the world's top battery makers, proving its mettle with innovations and collaborations across the industry. Hyundai Motor, as of 2023, stands as the third-largest vehicle manufacturer globally, showing its muscle both in conventional and electric vehicles.