When Titans Meet: Samsung is set to supply EV batteries to Hyundai from 2026

On Monday, South Korea’s Samsung SDI announced that it will be providing Hyundai Motor with electric vehicle (EV) batteries for a period of seven years, commencing in 2026. This agreement signifies a significant milestone as it marks the inaugural battery supply collaboration between these two prominent companies. In a formal statement, Samsung SDI expressed, “This recent supply agreement represents the first-ever cooperation between Samsung and Hyundai Motor Group in the realm of electric vehicle batteries.” The battery maker, which supplies to General Motors Co., Stellantis, and BMW among others, added that it will supply prismatic batteries manufactured at its factory in Hungary for Hyundai Motor’s EVs targeting the European market from 2026 through 2032. While Samsung SDI and Hyundai Motor did not disclose the size of the deal, Samsung SDI would likely supply EV batteries that could power about 500,000 EVs over the next seven years, an industry source familiar with the matter told Reuters. Earlier this month, Samsung SDI said it plans to invest 2.7 trillion won ($2 billion) to build a second joint EV battery plant with Stellantis in the U.S. state of Indiana, targeting to start production in 2027. Shares of Samsung SDI were trading up 0.3 per cent, versus benchmark KOSPI’s 0.1 per cent fall as of 0203 GMT. (With inputs from agencies)