New EV Battery Plant Business for NS
Written by William C. Vantuono, Editor-in-Chief
Freightliner photo
Accelera™ by Cummins, the zero-emissions business segment of Cummins, Inc.; Daimler Trucks & Buses US Holding LLC; and PACCAR, builder of light-, medium- and heavy-duty trucks under the Kenworth, Peterbilt and DAF nameplates, have selected a Norfolk Southern-served site in Marshall County, Miss., to locate a battery cell manufacturing 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 companies saud. The 21-gigawatt hour (GWh) factory is expected to begin producing battery cells in 2027. 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).
The joint venture 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,” the joint venture noted. Accelera, Daimler Truck and PACCAR will each own 30% of, and jointly control, the business, which will focus on lithium-iron-phosphate (LFP) battery technology for commercial battery-electric trucks. EVE Energy will serve as the technology partner in the joint venture with 10% ownership and will contribute battery cell design and manufacturing to the future cell manufacturing plant.
“This facility will be located on a portion of the Chickasaw Trails Industrial Park Megasite in Marshall County, Miss.,” said Norfolk Southern Vice President Business Development and Real Estate Kathleen Smith. “ The site is in close proximity to the Norfolk Southern network, including our Memphis-area terminal. Norfolk Southern has worked for years, alongside our economic development partners in the region, to prime this for a world-class opportunity. This news is a testament to those efforts. We remain focused on making strategic investments that generate smart, sustainable growth. We look forward to exploring how rail can help this operation thrive and forging lasting partnerships that will shape the future of the electric commercial vehicle supply chain. The Norfolk Southern Business Development and Real Estate team congratulates Accelera by Cummins, Daimler Truck North America, PACCAR, the Mississippi Economic Development Authority and our many economic development partners in Marshall County on this transformational project.”
Accelera™ by Cummins “provides a diverse portfolio of zero-emissions solutions for the world’s most economically vital industries, empowering them to accelerate the transition to a sustainable future,” the company said. It is a components supplier and integrator, focused on batteries, hydrogen fuel cells, e-axles, traction drive and electrolyzers with operations in North America, Europe and Asia.
Daimler Truck Holding AG is one of the world’s largest commercial vehicle manufacturers, with more than 40 main locations and 100,000 employees. The company has five reporting segments: Trucks North America, with the Freightliner and Western Star truck brands and Thomas Built Buses; Trucks Asia, with the FUSO, BharatBenz and RIZON commercial vehicle brands; Mercedes-Benz, with the truck brand of the same name; Daimler Buses, with the Mercedes-Benz and Setra bus brands; and the Financial Services business. Its product range in the truck segments includes light, medium and heavy trucks for long-distance, distribution and construction traffic and special-purpose vehicles used mainly in the municipal and vocational sector. The product range of the bus segment includes city buses, school buses and intercity buses, coaches and bus chassis. In addition to the sale of new and used commercial vehicles, the company also offers aftersales services and connectivity solutions.
PACCAR is a global company that conducts design, manufacture and customer support of light-, medium- and heavy-duty trucks under the Kenworth, Peterbilt and DAF nameplates. PACCAR vehicles combine diesel and zero-emissions powertrains with PACCAR charging solutions and infrastructure support. The company also provides financial services and information technology, and distributes truck parts related to its principal business.
