Stellantis Secures Nickel Supply for Electric Vehicle Production with Terrafame Deal
Stellantis and Terrafame, a Finnish firm, struck a contract on Wednesday that would see Terrafame provide Stellantis with nickel sulphate over a five-year period beginning in 2025. This deal is a big step forward for Stellantis, the world’s third-largest automotive company, as it works toward its goal of having battery electric cars account for 100% of European passenger car sales and 50% of U.S. passenger car and light-duty truck sales by 2030.
According to Stellantis CEO Carlos Tavares, this transaction is “part of the key raw material sourcing to fit with our electrified vehicle battery pack needs.” In addition, the business recently signed a contract with Australian miner Element 25 for the supply of manganese sulphite, demonstrating its commitment to acquiring raw materials for electric batteries.
The Terrafame partnership will also help Stellantis in its attempts to secure sustainable, locally-produced nickel. As the demand for electric cars grows, it is critical for automakers to ensure a consistent supply of raw materials for battery manufacture. This agreement with Terrafame will allow Stellantis to maintain a consistent supply of nickel sulphate to fulfil the rising demand for electric cars.
Overall, Stellantis and Terrafame’s collaboration is a key step toward obtaining sustainable and locally sourced raw materials for electric battery manufacture. As the transition to electric cars accelerates, acquisitions like these will be critical in ensuring the industry has the resources it needs to satisfy rising demand.