GM announced that they will build a manufacturing facility in the U.S. to build the lithium-ion batteries for the Chevy Volt.

This came as a bit of a surprise as we thought A123 Systems was going to build the battery packs for GM but the General partnered with LG Chem out of Korea. LG Chem will build the battery packs for the Volt until the new GM facility is operational. GM, though, will continue to work with A123 Systems and other suppliers on battery technology.

This new GM battery facility will be built in Michigan and will be operational by 2010. The company is also set to do the following, showing their commitment to EV technology:

-Increase the number of staff working on hybrid and electric vehicles

-Link up with the University of Michigan on developing battery technologies.

-Continue to work with LG Chem and other battery suppliers such as: A123 Systems, Hitachi Ltd., Compact Power, and Cobasys.

-Work with government organizations and industry consortia on developing alternative energy vehicles.