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At the Samsung news conference at the Consumer Electronics Show (CES) in Las Vegas on January 7, 2013, the company logo is displayed. Rick Wilking/REUTERS/File Photo SEOUL, South Korea, July 8 (Reuters) – Samsung SDI Co (006400.KS) of South Korea may develop a battery cell plant in the United States to help the auto industry transition to electrification, according to a corporate source familiar with the situation. According to the source, Samsung SDI, a subsidiary of Samsung Electronics (005930.KS), has been in talks with automakers such as Stellantis (STLA.MI), Amazon (AMZN.O), and Ford Motor-backed Rivian to supply batteries built at its future U.S. factory. According to the source, the South Korean battery manufacturer is considering investing at least 3 trillion won ($2.62 billion) in Stellantis batteries and a minimum of 1 trillion won in Rivian batteries. According to the source, Samsung SDI has yet to decide whether the U.S. operation will be a joint venture with carmakers or a standalone manufacturing facility. According to the source, the decision to build in the United States is based on changes to tariff laws in the United States-Mexico-Canada Agreement (USMCA), which replaced the 1994 North American Free Trade Agreement last year (NAFTA). To avoid tariffs, the USMCA requires automobiles to have 75 percent North American content, compared to a 62.5 percent threshold under NAFTA. find out more “We’ve been considering expanding in the United States, but nothing has been determined yet,” a Samsung SDI spokeswoman said, adding that the business couldn’t discuss specific customer discussions. Customers include BMW (BMWG.DE), Ford, Volvo, and Volkswagen (VOWG p.DE). Samsung SDI operates EV battery plants in South Korea, China, and Hungary. LG Energy Solution and SK Innovation Co Ltd (096770.KS), two domestic rivals of Samsung SDI, have announced separate intentions to produce EV battery cells in the United States. find out more Stellantis, which was formed in January by the merging of Fiat Chrysler and PSA, an Italian-American conglomerate, has battery plant projects in France and Germany, both in collaboration with a TotalEnergies subsidiary (TTEF.PA). According to Reuters on Wednesday, Stellantis is nearing completion on an agreement to establish a battery facility in Italy. The automaker has stated that it will make a decision on new battery factories in Europe and the United States this year. Rivian announced in April that Samsung SDI would provide battery cells for its vehicles. find out more (1 dollar = 1,144.15 won) Heekyong Yang contributed reporting, while Christian Schmollinger edited the piece. The Thomson Reuters Trust Principles are our standards./nRead More

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