General Motors has signed a non-binding memorandum of understanding with Nevada-based battery recycler Redwood Materials meant to accelerate deployment of energy storage systems using both new U.S.-manufactured batteries from GM and second-life battery packs from GM electric vehicles.
Redwood Materials
“The market for grid-scale batteries and backup power isn’t just expanding, it’s becoming essential infrastructure,” said Kurt Kelty, VP of batteries, propulsion and sustainability at GM. “Electricity demand is climbing, and it’s only going to accelerate. To meet that challenge, the U.S. needs energy storage solutions that can be deployed quickly, economically, and made right here at home. GM batteries can play an integral role. We’re not just making better cars — we’re shaping the future of energy resilience.”
In June, Redwood Materials launched Redwood Energy, a new business that deploys both used EV packs and new modules into fast, low-cost energy-storage systems built to meet surging power demand from AI data centers and other applications. The partnership with GM enables Redwood to pair that integration expertise with both second-life GM EV packs and new U.S.-built batteries, delivering a domestic solution from cell to system.
Already, GM second-life electric vehicle batteries are being repurposed to help power what is expected to be the largest second-life battery development in the world, at Redwood’s 12-MW/63-MWh installation in Sparks, Nevada, supporting the AI infrastructure company Crusoe.
“Electricity demand is accelerating at an unprecedented pace, driven by AI and the rapid electrification of everything from transportation to industry,” said JB Straubel, founder and CEO of Redwood Materials. “Both GM’s second-life EV batteries and new batteries can be deployed in Redwood’s energy storage systems, delivering fast, flexible power solutions and strengthening America’s energy and manufacturing independence.”
GM and Redwood Materials expect to announce more details on their plans later in 2025.
News item from GM
