General Motors (GM) has secured a significant multi-billion-dollar agreement with Vianode, a Norwegian company known for its expertise in advanced materials.
This long-term partnership focuses on the supply of synthetic graphite anode materials, which are essential for electric vehicle (EV) batteries.
The deal comes at a critical time, as global battery supply chains have been on edge after news surfaced that China might restrict exports of battery technology and the materials used in their production.
As a result, this agreement is crucial for GM, as it helps mitigate the risks of relying on an unstable supplier.
The synthetic graphite supplied by Vianode will be an essential component in batteries produced by Ultium Cells, a joint venture between GM and LG Energy Solution.
The partnership is set to span from 2027, coinciding with the opening of Vianode’s North American production facility, through to 2033.
“The project will help advance our battery technology and drive greater value to our customers,” says Jeff Morrison, Senior Vice President of Global Purchasing and Supply Chain at GM.
A Strategic Partnership
One of the main driving forces behind this partnership is the need to address the challenge of China’s dominance, as it controls approximately 95% of the global graphite supply.
This has prompted Western automakers and governments to explore alternative sources and reduce their dependence on imported graphite.
“The entire EV ecosystem depends upon the import of one critical mineral,” says Burkhard Straube, CEO of Vianode. “What we and General Motors want is a resilient supply chain for North America.”
Vianode plans to build a facility in either the US or Canada, strategically located near GM and LG’s battery production sites.
While the exact location remains under wraps due to ongoing negotiations, the first phase of the project is expected to produce approximately 80,000 tons of synthetic graphite annually by 2030, which could support the production of up to 1.5 million EVs.
In addition to this new facility, Vianode operates a production plant in Herøya, Norway, and is in talks to supply graphite to other automakers, demonstrating the company’s scalability within the growing EV market.
A Sustainable and Scalable Approach
Vianode’s synthetic graphite is produced with a remarkable 90% lower CO2 footprint compared to traditional methods, offering a more sustainable alternative to mined graphite.
This eco-friendly production process, coupled with its scalability advantages, makes Vianode an appealing partner for automakers like GM.
The ability to scale production quickly is especially important as the global demand for EV batteries continues to rise, aligning with sustainability goals set by governments and industries worldwide.
“The EV industry is still growing and exploring a new mine will take a decade, maybe longer. You can build another plant with synthetic graphite in two or three years,” says Burkhard Straube, CEO of Vianode.
Revolutionizing EV
This major partnership strengthens GM’s position in the EV market by enhancing its battery technology while reducing its reliance on unstable international supply chains.
By investing strategically in synthetic graphite, GM not only supports the development of a sustainable and resilient North American supply chain but also plays a significant role in shaping the future of the EV industry.
With production set to begin in 2027, this collaboration is poised to reshape the EV supply chain and help steer the industry toward a greener and more sustainable future.
