US Energy Dept. set to announce $2.5B loan to GM, LG Energy for battery production- Reuters
Mario Tama

The U.S. Energy Department is planning to announce a $2.5B loan to the joint venture between General Motors (NYSE:GM) and South Korean battery storage company LG Energy Solution, Ultium Cells, to finance the construction of new battery plants, according to Reuters. 
Per the report, the conditional loan will be committed to assist the joint venture in building new facilities in Ohio, Tennessee, and Michigan under the auspices of the Advanced Technology Vehicles Manufacturing loan program. The same program had previously offered sizable loans to GM competitors like Ford (F) and Tesla (TSLA). However, the new loan to Ultium will mark the first loan offered specifically for battery cell manufacturing.
The joint venture announced a $2.6B investment in a manufacturing plant in Lansing, Michigan earlier this year, with the aim to kickstart production and provide 1,700 new jobs in the state. 
"This significant investment demonstrates our commitment to strengthen our Michigan and U.S. manufacturing presence and grow good-paying jobs," GM CEO Mary Barra said upon the announcement of the Lansing facilityâs construction. "We will have the products, the battery cell capacity and the vehicle assembly capacity to be the EV leader by mid-decade."
The Lansing factory is set to open in late 2024. A timeline for the new facilities funded by the Department of Energy was not disclosed. 
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