General Motors and Glencore Enter Cobalt Supply Agreement
2022.04.12 21:26
By Sam Boughedda
Investing.com — General Motors Company (NYSE:GM) and Glencore PLC (LON:GLEN) announced a multi-year cobalt sourcing agreement on Tuesday.
Glencore supply General Motors with cobalt from its Murrin Murrin operation in Australia. Cobalt is a metal used in the production of electric vehicle batteries.
The cobalt will power General Motors Ultium battery cathodes, used for electric vehicles such as its Chevrolet Silverado and GMC Hummer EV.
“GM and our suppliers are building an EV ecosystem that is focused on sourcing critical raw materials in a secure sustainable manner,” said Jeff Morrison, GM vice president, Global Purchasing and Supply Chain.
GM expects to manufacture 1 million electric vehicles in North America by 2025. The company also aims to create a new and secure supply chain for electric vehicles after recent issues have impacted vehicle production globally.
GM shares are relatively unchanged during the Tuesday session but are down 31% in 2022.
