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GM and LG’s battery joint venture gets its $2.5 billion loan finalized

Credit: Ultium Cells LLC

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The US Energy Department has finalized a low-cost loan worth $2.5 billion to a joint venture of General Motors Co and LG Energy Solution, Ultium Cells LLC. The funds will be used to help pay for three new lithium-ion battery cell manufacturing facilities in Ohio, Tennessee, and Michigan. The announcement was made on Monday. 

US Energy Secretary Jennifer Granholm reportedly plans to highlight the closing of the Ultium loan in a visit to Michigan with Labor Department Deputy Secretary Julie Su on Monday. They will be joined by Michigan Governor Gretchen Whitmer, UAW President Ray Curry, and a number of representatives from automakers and EV battery firms. The group is expected to discuss a variety of topics, such as strategies for recruiting and retaining a skilled and diverse battery workforce.

In July, reports emerged stating that the government’s Advanced Technology Vehicles Manufacturing (ATVM) loan program was planning to provide a loan to Ultium Cells LLC, a joint venture between LG Energy Solutions and General Motors. GM and LG’s three upcoming battery facilities in the United States are expected to support 6,000 construction jobs and 5,100 operations jobs.

GM and LG Energy Solution are reportedly considering an Indiana site as a potential fourth US battery plant. Construction is ongoing at a $2.6 billion plant in Michigan, which is expected to start operations in 2024. The joint venture also noted earlier this month that it would be increasing its investment in the Tennessee battery plant by about $275 million. 

US President Joe Biden has set a goal for the US to produce 50% electric or plug-in electric hybrid vehicles by 2030. This would require automakers in the United States to make a serious shift to electric cars. EV leaders such as Tesla have already expressed their ambitious goals, with the Texas-based EV maker aiming to produce 20 million electric cars annually worldwide by the end of the decade. 

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GM and LG’s plant would likely see a notable amount of support from the current administration, particularly as President Biden has openly noted that he strongly supports unions. Just last week, the United Auto Workers (UAW) bagged a win after workers at GM and LG’s $2.3 billion Ohio battery plant voted in favor of a unionized workforce. The UAW is seeking to organize the growing electric vehicle (EV) supply chain.

Don’t hesitate to contact us with news tips. Just send a message to simon@teslarati.com to give us a heads up.

Simon is an experienced automotive reporter with a passion for electric cars and clean energy. Fascinated by the world envisioned by Elon Musk, he hopes to make it to Mars (at least as a tourist) someday. For stories or tips--or even to just say a simple hello--send a message to his email, simon@teslarati.com or his handle on X, @ResidentSponge.

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Tesla Sweden faces new pressure in Sweden as Assa Abloy joins union action

The sympathy strike will block Assa Abloy’s 330 employees across six Swedish facilities from servicing or maintaining locks and gates used at Tesla Sweden’s sites.

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Credit: NicklasNilsso14/X

The labor standoff between Tesla and Sweden’s IF Metall union has widened again, this time pulling in Assa Abloy Industrial, a manufacturer of industrial doors and locks. 

IF Metall announced a new sympathy strike halting all Assa Abloy services for Tesla, set to take effect November 4, according to Dagens Arbete (DA). The move is aimed at further pressuring Tesla into signing a collective agreement after nearly two years of ongoing labor conflict.

New strike targets Tesla’s industrial operations

The sympathy strike will block Assa Abloy’s 330 employees across six Swedish facilities from servicing or maintaining locks and gates used at Tesla Sweden’s sites. IF Metall hopes the measure will disrupt Tesla’s daily operations and highlight the growing solidarity among Swedish companies.

Assa Abloy becomes the latest in a line of firms drawn into the dispute, with the Swedish Mediation Institute now logging fourteen conflict notices since September. The escalation shows that unions and partner industries are aligning to support of IF Metall’s campaign to secure a collective bargaining deal, something Tesla has consistently resisted.

IF Metall says Tesla must understand Sweden’s labor model

IF Metall chair Marie Nilsson recently reiterated her call for Tesla Sweden to reconsider its stance on organized labor, noting that Sweden’s union system differs sharply from the more adversarial model in the United States. 

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“I can certainly understand that Elon Musk and Tesla are skeptical of the trade union movement,” Nilsson said. “They have experience with American unions that operate in a completely different environment and that have to be militant in a different way.”

Nilsson emphasized that Swedish unions function cooperatively and that signing a collective agreement locally does not commit Tesla to similar deals elsewhere. “Let’s give us a chance,” she added. “It is the practical system we have here to regulate the conditions.”

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Elon Musk: Tesla autonomous driving might spread faster than any tech

The CEO noted that “hardware foundations have been laid for such a long time.”

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Credit: Tesla

Elon Musk has shared one of his most optimistic forecasts for Tesla’s self-driving rollout yet. As per the CEO, Tesla’s self-driving system could see the fastest technological adoption in history, thanks to the fleet’s capability to gain autonomous capabilities through a software update.

The CEO shared his forecast in a post on social media platform X.

Tesla’s aims to scale autonomy

Musk’s comment came as a response to industry watcher Sawyer Merritt, who posted a comparison between the geofence of Tesla’s Robotaxi network and Waymo’s service area. As can be seen in the graphic, Tesla’s Austin geofence has gotten noticeably larger compared to Waymo’s service area. 

In his response, Musk stated that “Tesla autonomous driving might spread faster than any technology ever.” He also stated that “hardware foundations have been laid for such a long time,” as a software update could unlock full autonomy “for millions of pre-existing cars in a short period of time.”

Musk’s comment bodes well for Tesla’s Robotaxi ambitions, which seem to be finally in reach with the deployment of Unsupervised FSD in vehicle factories, as well as Austin and the Bay Area. For now, however, Tesla’s Austin Robotaxis and Bay Area ride-hailing vehicles are still operated with a safety monitor in the driver’s seat. 

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Tesla’s latest Austin expansion

Tesla recently expanded its Austin Robotaxi service area this week to 243 square miles, its largest yet and nearly triple the coverage from two months ago. The move outpaces Waymo’s local service footprint, which remains at around 90 square miles.

The expansion marks Tesla’s second major Austin update since August and emphasizes its push to dominate the autonomous ride-hailing landscape. With both Tesla and Waymo racing to prove scale and reliability, Musk’s confidence suggests the real contest may be about who can move fastest once the tech flips on across Tesla’s fleet. Once that happens, Tesla would effectively be able to win the self-driving race. 

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Tesla sends clear message to Waymo with latest Austin Robotaxi move

It is the first expansion Tesla has made in Austin since the one on August 26. The company still operates in the Bay Area of California as well, referring to that program specifically as a “ride-hailing service.”

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Credit: Tesla

Tesla has sent a clear message to Waymo with its latest move to its Robotaxi program in Austin, Texas.

Tesla and Waymo are the two true leaders in autonomous ride-hailing to an extent. Tesla has what many believe is a lot of potential due to its prowess with the Supervised Full Self-Driving suite. It is also operating a driverless Robotaxi service in Austin with a “Safety Monitor” that sits in the passenger’s seat.

Tesla explains why Robotaxis now have safety monitors in the driver’s seat

The two companies have been competing heavily in the market since they both launched driverless ride-hailing services in Austin this year: Waymo’s in March and Tesla’s in June.

One of the main drivers in the competition between the two is service area size, or the geofence in which the cars will operate without a driver. In August, the two were tied with a service area of about 90 square miles (233.099 sq. km).

Tesla then expanded to about 170 square miles (440.298 sq. km) on August 26, dwarfing Waymo’s service area and expanding to freeways. Tesla’s freeway operation of the Robotaxi suite requires the Safety Monitor to be in the driver’s seat for safety reasons.

On Tuesday evening, Tesla made another move that sent a clear message to Waymo, as it expanded once again, this time to 243 square miles (629.367 sq. km).

This is according to Robotracker:

It is the first expansion Tesla has made in Austin since the one on August 26. The company still operates in the Bay Area of California as well, referring to that program specifically as a “ride-hailing service.”

Yesterday, it expanded that service to the San Jose Mineta International Airport, something it has been working on for several months.

Waymo has its own set of distinct advantages over Tesla as well, as it operates in more cities and states than the EV maker. Waymo currently has its autonomous vehicle services in Phoenix, Arizona, San Francisco, Los Angeles, Austin, and Atlanta, Georgia.

Tesla plans to have half of the U.S. population with access to the Robotaxi platform by the end of the year.

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