That’s how much General Motors (NYSE: GM) is investing to boost EV battery materials supply in North America.
It’s yet another automaker playing catch up in the EV race.
A race that Elon Musk is not only winning by leaps and bounds…
But that he will probably continue to do so by implementing THIS.
GM announced plans for a new factory designed to manufacture Cathode active material (CAM).
This will be for GM’S Ultium batteries, which are the backbone of their EV strategy.
And now they just announced a new $1 billion JV investment with an EV battery materials company: Posco Future M.
The new funding will help increase production of key battery metals…
But mainly Cathode active material (CAM).
As GM’s executive VP of global product development says:
“Increasing CAM production capacity […] is another significant step in building a more secure and sustainable North America-focused supply chain to support GM’s fast-growing EV production needs.”
GM wants to power 1.3 million EVs per year…
… and is building out its ENTIRE battery supply chain.
And this highlights what I’ve been saying for a year now.
Consumers continue to embrace EVs…
Automakers are transitioning toward EVs…
And Governments are encouraging—sometimes MANDATING—that EVs replace combustion engines.
That means there’s a TIDAL wave of demand for EV battery metals.
And there’s just not enough production capacity to meet demand.
This will fuel higher commodity prices – and boost profits for battery metal miners and refiners.
Short-term price fluctuations are part of the deal when investing in commodities.
But higher prices over the longer-term are nearly assured due to soaring demand and a lack of supply.
That’s why Morgan Stanley expects the EV battery market to soar 2,400%.
And that’s why I remain bullish on the battery metal sector – despite the recent price action.
Now, Tesla is the undisputed king in the EV race.
It plans to power 20 million EVs per year by the end of the decade, which creates an URGENT demand for the battery metals.
In fact, solving this problem is key for Elon Musk’s Master Plan to succeed.
No wonder Tesla is RUSHING to lock-up critical supplies of batteries – and inking raw-material deals with several little-known stocks.
This small group of undiscovered stocks could see +1,766% gains.
To discover why they could help you turn $5k into $88,300…