The automaker Stellatis said it has received a five-year supply of battery-grade lithium hydroxide in Europe to support its plan to convert to 98% electric vehicles by 2025
MILAN – The automaker Stellattis said on Monday that it has received a five-year supply of battery-grade lithium hydroxide in Europe to support its plan to convert to 98% electric vehicles by 2025.
Stellatis, the combined company of PSA Peugeot and Fiat Chrysler, has signed a binding agreement with Germany’s Vulcan Energy Resources Ltd. to use geothermal energy to produce battery-grade lithium hydroxide from brine without using fossil fuels. Within the five-year period of the agreement, Vulcan will supply 81,000 metric tons to 99,000 metric tons of lithium hydroxide.
As concerns about climate change intensify, all top automakers are developing electric vehicles. Also on Monday, Nissan said it would invest 2 trillion yen ($17.6 billion) in the next five years and develop cheaper and more powerful batteries to expand its electric vehicle lineup.
Stellantis said its transaction supports the decarbonization of key raw materials for electric vehicle battery packs.
The automaker announced in July last year that it plans to convert almost all of its production to electric or hybrid vehicles by 2025. According to the plan, by 2025, more than 70% of cars sold in Europe and 40% of cars sold in the United States will be low-emission cars. 2030.
“Stellantis is advancing its electrification strategy with speed and strength. This agreement further proves that we have a competitive spirit to fulfill our promises,” said Michelle Wen, Chief Procurement and Supply Chain Officer of Stellatis. “Safe, clean and affordable freedom of travel represents the strong expectations of our society, and we are committed to achieving this goal.”