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Cummins (CMI) & Partners Set Sights on Mississippi for Battery JV
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Cummins’ (CMI - Free Report) Accelera, PACCAR (PCAR - Free Report) and Daimler Truck AG have chosen Marshall County, MS, as the future site for their joint venture's (JV’s) advanced battery cell manufacturing. The investment for the factory in Mississippi is estimated to be in the range of $2-$3 billion.
The collaboration aims to localize battery cell production for commercial electric vehicles (EVs). It will foster economic growth, create over 2,000 manufacturing jobs in the United States and support the adoption of electric vehicles in medium- and heavy-duty commercial transportation.
The JV — in which Accelera, Daimler Truck, and PACCAR will each hold a 30% stake — was first announced in September 2023. It will focus on lithium-iron-phosphate (LFP) battery technology for commercial battery-electric trucks. This LFP battery produced by the JV will have an edge over other battery chemistries. The battery will be safer, more durable and comparatively cheaper, and it won’t require raw materials like nickel and cobalt.
EVE Energy, a global technology leader in LFP battery cells, will be a key partner in the venture, contributing industry-leading battery cell design and manufacturing expertise. EVE Energy's 10% ownership underscores its commitment to advancing sustainable solutions for the vehicle industry.
The 21-gigawatt hour (GWh) factory, expected to commence battery cell production in 2027, represents a step toward the partners' shared vision of a decarbonized future. This partnership will help Cummins, PACCAR and Daimler reduce carbon emissions in a way that is consistent with the Paris Climate Agreement.
The JV between Accelera, Daimler Truck and PACCAR, with the support of EVE Energy, represents a collaborative effort to create cutting-edge battery cell technology, generate employment opportunities and contribute to the global effort to reduce carbon emissions. The transaction is subject to customary closing requirements and regulatory approvals.
Zacks Rank & Key Picks
Cummins and PACCAR currently carry a Zacks Rank #3 (Hold) each.
The Zacks Consensus Estimate for RACE’s 2024 sales and earnings suggests growth of 10.7% and 12.8%, respectively, from the 2023 estimated figures. The EPS estimates for 2023 and 2024 have improved by 8 cents and 3 cents, respectively, in the past 60 days.
The Zacks Consensus Estimate for TM’s fiscal 2024 sales and earnings implies year-over-year growth of 11% and 47%, respectively. The EPS estimates for 2024 and 2025 have moved up by 21 cents and 23 cents, respectively, in the past seven days
Disclaimer: This article has been written with the assistance of Generative AI. However, the author has reviewed, revised, supplemented, and rewritten parts of this content to ensure its originality and the precision of the incorporated information.
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Cummins (CMI) & Partners Set Sights on Mississippi for Battery JV
Cummins’ (CMI - Free Report) Accelera, PACCAR (PCAR - Free Report) and Daimler Truck AG have chosen Marshall County, MS, as the future site for their joint venture's (JV’s) advanced battery cell manufacturing. The investment for the factory in Mississippi is estimated to be in the range of $2-$3 billion.
The collaboration aims to localize battery cell production for commercial electric vehicles (EVs). It will foster economic growth, create over 2,000 manufacturing jobs in the United States and support the adoption of electric vehicles in medium- and heavy-duty commercial transportation.
The JV — in which Accelera, Daimler Truck, and PACCAR will each hold a 30% stake — was first announced in September 2023. It will focus on lithium-iron-phosphate (LFP) battery technology for commercial battery-electric trucks. This LFP battery produced by the JV will have an edge over other battery chemistries. The battery will be safer, more durable and comparatively cheaper, and it won’t require raw materials like nickel and cobalt.
EVE Energy, a global technology leader in LFP battery cells, will be a key partner in the venture, contributing industry-leading battery cell design and manufacturing expertise. EVE Energy's 10% ownership underscores its commitment to advancing sustainable solutions for the vehicle industry.
The 21-gigawatt hour (GWh) factory, expected to commence battery cell production in 2027, represents a step toward the partners' shared vision of a decarbonized future. This partnership will help Cummins, PACCAR and Daimler reduce carbon emissions in a way that is consistent with the Paris Climate Agreement.
The JV between Accelera, Daimler Truck and PACCAR, with the support of EVE Energy, represents a collaborative effort to create cutting-edge battery cell technology, generate employment opportunities and contribute to the global effort to reduce carbon emissions. The transaction is subject to customary closing requirements and regulatory approvals.
Zacks Rank & Key Picks
Cummins and PACCAR currently carry a Zacks Rank #3 (Hold) each.
A few top-ranked players in the auto space include Ferrari (RACE - Free Report) and Toyota (TM - Free Report) , sporting a Zacks Rank #1 (Strong Buy) each. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for RACE’s 2024 sales and earnings suggests growth of 10.7% and 12.8%, respectively, from the 2023 estimated figures. The EPS estimates for 2023 and 2024 have improved by 8 cents and 3 cents, respectively, in the past 60 days.
The Zacks Consensus Estimate for TM’s fiscal 2024 sales and earnings implies year-over-year growth of 11% and 47%, respectively. The EPS estimates for 2024 and 2025 have moved up by 21 cents and 23 cents, respectively, in the past seven days
Disclaimer: This article has been written with the assistance of Generative AI. However, the author has reviewed, revised, supplemented, and rewritten parts of this content to ensure its originality and the precision of the incorporated information.