Canadian commercial automaker Lion Electric Company reported the production of its first proprietary li-ion battery pack at its Mirabel battery plant on December 21, as per PR Newswire.
“The production of our first battery pack out of our Mirabel battery facility is an important step for Lion and should, over time, bring with it a new level of optimization for product design and production efficiency. I am incredibly proud of our team for the continued advancement of this project, and I am very thankful to the Canadian and Quebec governments for their support in making it a reality.”
Yannick Poulin, COO of Lion Electric
Schedule
The first quarter of 2023 is anticipated to see Lion Electric Company’s first battery pack receive its final certification, with production beginning to ramp up gradually.
On the other hand, the Lion5 truck and the LionAmbulance are anticipated to enter commercial production in the first half of 2023. Essentially, it will be powered by the first batteries made in Mirabel.
Expected outcome
Once fully operational, Lion’s upcoming Mirabel battery production facility is anticipated to provide the company with a significant competitive advantage.
The plant boasts the following capabilities: increased control over supply, improvement of technology, and vehicle integration.
Given that an electric vehicle‘s battery is often the most expensive component, these new production capabilities are expected to provide significant financial advantages.
Most notably, five gigawatt-hours of battery capacity are expected to be produced annually at total capacity at the manufacturing plant.
The announcement coincides with Lion’s recent celebration of the beginning of production at its American auto manufacturing site in Joliet, Illinois.
The fact that Lion now manufactures its own batteries in Canada, where it also produces EVs, could lead to an even more efficient and affordable supply chain for the company. The strategy to bring battery manufacturing in-house is wise, as conventional EV manufacturers have always relied on external suppliers. That said, it is encouraging to see Lion use the vertical integration approach.
