General Motors Stock (NYSE:GM)
General Motors stock plunged after it announced that its investment arm, GM Ventures, has invested in Lithion Recycling Inc.’s Series A financing round, facilitating new GM-Lithion cooperation as part of its efforts to move toward a circular battery ecosystem.
Through this partnership, Lithion’s potential to obtain battery materials will be examined, and its recovered battery materials will be validated for manufacturing new batteries. General Motors (NYSE:GM) hopes to pool resources to better understand how to make future battery designs more amenable to recycling.
In contrast to mining for battery components, Lithion’s activities will reduce greenhouse gas emissions by more than 75% and water usage by more than 90%, thanks to a recovery rate of more than 95% and the utilization of green energy from Québec.
The team at Lithion has been hard at work on a method for extracting valuable resources from used and discarded lithium-ion batteries. On the back of the information gathered at its highly successful industrial-scale demonstration facility, which will go live in January 2020, Lithion plans to launch its first commercial recycling operations in 2023. The annual target output for the facility is 7,500 metric tons of lithium-ion batteries. A hydrometallurgical plant is scheduled to be built by Lithion in 2025. To manage the quick worldwide deployment and improved battery end-of-life management, General Motors stock plans to open additional facilities in the United States, Europe, and Korea.
General Motors (NYSE:GM) automaker will also invest $760 million in its Toledo, OH propulsion manufacturing plants to produce drive units for future Ultium-based battery electric vehicles such as the Chevrolet Silverado EV and GMC Sierra, and GMC HUMMER EV. The Toledo Propulsion Systems plant will be the first of the company’s facilities in the United States to be adapted for electric vehicle manufacture.
When completed, the factory will manufacture General Motors (NYSE:GM) full line of electric vehicle drive units, which include all-wheel drive, high-performance front-wheel drive, and rear-wheel drive configurations. During this transition period, Toledo Propulsion Systems will manufacture premium transmission components alongside drive units. This month, General Motors stock will begin the restoration process.
The Toledo plant was acquired by GM in 1956, and it is now responsible for producing the company’s six-speed, eight-speed, and 10-speed rear-wheel drive and nine-speed front-wheel-drive gearboxes. The new capital brings Toledo’s total investment since 2011 to $1.9 billion. Presently, the facility employs around 1,500 workers. General Motors stock is now trying to convince additional workers to join its electric vehicle transition. The UAW members going on the trip are very excited about it.
General Motors stock price dropped by 33.3% last year, far more than the 12.3% average decline in the auto industry.
Featured Image- Megapixl @ Lindaparton