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BMW is adding Samsung SDI as a planned Gen6 battery-cell supplier in Europe and LG Energy Solution in the United States. Deliveries are expected to begin at the end of the 2020s, but BMW has not identified the cell formats, chemistries or specific production sites for the new supply agreements.
BMW plans to source Gen6 battery cells for its Neue Klasse electric vehicles from Samsung SDI in Europe and LG Energy Solution (LGES) in the United States, expanding its regional supplier network. The automaker said deliveries are expected to start at the end of the 2020s, but did not disclose the cell chemistry, format or specific factories involved.
The planned partnerships apply to sixth-generation high-voltage batteries intended for Neue Klasse models. BMW says Samsung SDI will supply cells from its existing European production operations, while LGES will serve the US market. The company has framed the additions as part of a regional sourcing strategy, rather than a replacement of its existing suppliers.
In Europe, BMW expects to have three cell suppliers: CATL, EVE Energy and Samsung SDI. LGES is the named supplier for the US under the new arrangement. BMW says suppliers are expected to manufacture cells as close as possible to its battery and vehicle plants. The announcement does not give volumes, contract values, a delivery schedule beyond the broad end-of-decade expectation, or the precise factories that will make the cells.
BMW purchasing and supplier-network board member Nicolai Martin said supplier diversification is part of the company’s purchasing strategy. He said the battery partnerships are intended to strengthen value creation in Europe and the United States. BMW also plans to assemble Gen6 batteries at production sites near vehicle plants, including locations in Germany, Hungary, China, the United States and Mexico.
Regional Sourcing Spreads Battery Supply
The move gives BMW additional regional sources for cells as it prepares to expand Neue Klasse production. Cell manufacturing close to battery assembly and vehicle plants could reduce transport distances and exposure to disruptions on long supply routes. BMW says regional sourcing is intended to support supply security and local value creation; the company has not quantified expected savings or the effect on delivery reliability.
Adding suppliers also spreads procurement across multiple manufacturers and markets. That can reduce reliance on any one cell maker, while creating a more complex network that depends on factories being built or adapted, production capacity coming online, and battery specifications being matched to BMW’s vehicles. The announcement is a plan for future supply, not confirmation that cells are already being delivered under these arrangements.
For consumers, the development signals how BMW is arranging production for upcoming electric models, but it does not establish a change to vehicle prices, driving range or availability. Those outcomes depend on details BMW has not provided, including which suppliers will provide which cell types and how the cells will be allocated among models.
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Gen6 Batteries and Nearby Plants
BMW’s Gen6 battery design is based on large-format cylindrical cells, with a 46-millimetre diameter and two stated heights, 95 and 120 millimetres. The company has said the design is intended to raise energy density by about 20% compared with its previous prismatic NMC cells. BMW describes its approach as cell-to-pack integration, with the battery housing also contributing to the vehicle structure. These design details describe the Gen6 system generally; BMW has not confirmed which specific cell designs the new suppliers will provide.
The regional network includes cell production and battery assembly. BMW has established five battery-assembly sites near vehicle plants: Irlbach-Straßkirchen in Bavaria, Debrecen in Hungary, Shenyang in China, Woodruff in the United States and San Luis Potosí in Mexico. The report says EVE Energy has built a cell factory near BMW’s Debrecen plant, while CATL is ramping up a Debrecen facility alongside its existing plant in Arnstadt, Germany. Samsung SDI operates a plant in Göd, Hungary, but BMW’s announcement does not identify that site as the source for its planned supply.
BMW has also said Neue Klasse vehicles may use both nickel-manganese-cobalt (NMC) and lithium iron phosphate (LFP) batteries, choosing between them according to vehicle segment and use case. That broader battery strategy provides context for the supplier expansion, but the company has not said whether LGES or Samsung SDI will provide NMC cells, LFP cells, or both.
““Diversifying procurement is an integral part of the BMW Group’s purchasing strategy.””
— Nicolai Martin, BMW Group board member for Purchasing and Supplier Network
Cell Types and Factory Sites Pending
BMW has not specified which cell chemistries LGES and Samsung SDI will supply, or whether either supplier will provide more than one type. It has also not named the production facilities, cell formats, quantities, contract terms or model-by-model allocation for the new supply. Samsung SDI’s Göd plant is an apparent possible source because it is in Hungary, but BMW has not confirmed that location or the cell format to be made there.
The expected start at the end of the 2020s is not a firm delivery date, and the announcement does not say how quickly production will ramp up. It remains unclear how the planned supplier arrangements will change BMW’s overall cell volumes or the balance between NMC and LFP batteries in Neue Klasse vehicles. BMW’s stated regional-sourcing goals are company aims; the announcement supplies no measured estimate of transport reductions, cost effects or supply-security gains.
Watch for Production and Chemistry Details
The next concrete milestones are expected to come as BMW and its suppliers identify production plans and prepare capacity for deliveries near the end of the decade. Details to watch for include named factories, cell chemistry and format, supply volumes, and the timing of production ramp-ups. BMW’s battery-assembly sites and nearby supplier plants will also need to progress toward the planned regional production network.
Further information may come through BMW announcements, supplier disclosures or updates on Neue Klasse production. Until those details are released, the confirmed development is the planned addition of Samsung SDI for Europe and LGES for the United States—not a disclosed change to battery specifications or a report of current cell deliveries.
Key Questions
Which battery suppliers is BMW adding?
BMW plans to add Samsung SDI for Europe and LG Energy Solution for the United States to its Gen6 battery-cell supply network.
When are deliveries expected to begin?
BMW says deliveries are expected to start at the end of the 2020s. It has not announced a specific date or ramp-up schedule.
Which cell chemistry will LGES and Samsung SDI supply?
BMW has not disclosed the chemistry for either new supplier. Neue Klasse vehicles are expected to use NMC and, in some cases, LFP batteries, but BMW has not assigned those chemistries to specific suppliers.
Will Samsung SDI supply cells from its Göd plant in Hungary?
BMW has said Samsung SDI will supply from its existing European operations but has not named a factory. The Göd plant is a possible location, not a site confirmed in BMW’s announcement.
Does this replace BMW’s existing cell suppliers?
No replacement was announced. BMW’s planned European supplier group includes CATL, EVE Energy and Samsung SDI, while LGES is named for the US market.
Source: electrive.com
