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Trucks & Buses

Accelera by Cummins, Daimler Truck and PACCAR select Mississippi for Battery Cell Production in the United States

Itumeleng Garebatshabe
Last updated: January 23, 2024 10:56
By Itumeleng Garebatshabe
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Accelera by Cummins, the zero-emissions business segment of Cummins Inc., Daimler Trucks & Buses US Holding LLC and PACCAR have selected Marshall County, Mississippi, as the future site of advanced battery cell manufacturing for their planned joint venture. The joint venture will localize battery cell production for commercial electric vehicles and is expected to create more than 2,000 U.S. manufacturing jobs, with the option for further expansion as demand grows. The 21-gigawatt hour (GWh) factory is expected to begin producing battery cells in 2027.

The planned joint venture between Accelera, Daimler Truck and PACCAR was announced in September 2023 and will create scale to deliver cost effective and differentiated battery cell technology that supports the adoption of electric vehicles for medium- and heavy-duty commercial transportation. Accelera, Daimler Truck and PACCAR will each own 30% of, and jointly control, the business, which will focus on the lithium-iron-phosphate (LFP) battery technology for commercial battery-electric trucks. EVE Energy [SZSE:300014] will serve as the technology partner in the joint venture with 10% ownership and will contribute its industry-leading battery cell design and manufacturing expertise to the future cell manufacturing plant. EVE Energy is a global leader in the manufacture of LFP battery cells for the vehicle industry.

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“This site selection represents an exciting and tangible step toward advancing our Destination Zero strategy and our vision to lead the industry toward a decarbonized future,” said Jennifer Rumsey, Cummins Chair and Chief Executive Officer. “We are excited to join the Marshall County community to drive economic growth and job creation in Mississippi, while continuing to expand our strong partnerships and serve the diverse needs of our customers.”

“Localized battery cell production is an important component of delivering our customers – the fleets that keep America and the world moving – cost effective options for decarbonizing their operations,” said John O’Leary, president and CEO, Daimler Truck North America. “We’re grateful to the state of Mississippi and the Marshall County community for joining us in achieving this goal and helping to realize our shared climate goals.”  

“The state, the communities and the people of Mississippi are wonderful business partners for PACCAR. We look forward to expanding that partnership in northern Mississippi with this new battery cell factory that will provide industry-leading cost effective zero emissions solutions for our customers,” said Preston Feight, PACCAR Chief Executive Officer.

Accelera, Daimler Truck and PACCAR are striving to lead the commercial vehicle sector’s transition to zero-emissions technologies. The partners are committed to reducing carbon emissions consistent with the Paris Climate Agreement.

The transaction is subject to customary closing conditions and receipt of applicable merger control and regulatory approvals, including the submission of a voluntary notice to the Committee on Foreign Investment in the United States (CFIUS).

TAGGED:Accelerabattery cell manufacturingCumminsDaimler Trucks & Buseslithium-iron-phosphateMarshall CountyMississippiPACCARUnited States

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