JOINT VENTURE : AMPLIFY CELL TECHNOLOGIES
From Mississippi Development Guide 2023
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WORLD-CHANGING LOGISTICS

Daimler Truck, PACCAR and Accelera by Cummins come together.

JOINT VENTURE : AMPLIFY CELL TECHNOLOGIES
The three global brands of Daimler Truck, Accelera by Cummins and PACCAR in June finalized the formation of their newly named joint venture, Amplify Cell Technologies, which will invest in a $1.9 billion plant in Marshall County, Mississippi.
by ADAM BRUNS
T

hink North Mississippi and the first thing that comes to mind for many is hill country blues, a musical tradition distinct from the Delta style and epitomized by the groove of legendary musicians like R.L. Burnside, Junior Kimbrough and the North Mississippi All-Stars.

The next thing in most minds would be logistics: The counties bordering the state line with Tennessee and comprising part of the Memphis metro area have been welcoming warehouse and distribution facilities for years to places such as Olive Branch and Southaven in DeSoto County and, a bit further out, Byhalia and Holly Springs in Marshall County, where Baxter International, Old Dominion Freight and Barrett Distribution have expanded in the past two years.


Jennifer Rumsey, Cummins Chair and CEO“Not only are we advancing a key technology solution for our customers, but accelerating the energy transition in the United States.” 
— Jennifer Rumsey, Cummins Chair and CEO


One thing probably not top of mind to the region became top of mind in January 2024 when a $1.9 billion megaproject came knocking on the door.

The knock came from Accelera by Cummins, the zero-emissions business unit of Cummins Inc.; Daimler Trucks & Buses US Holding LLC (a Daimler Truck Group Company); and well-known truck manufacturer PACCAR, who together announced they had selected Marshall County, Mississippi, as the future site of advanced battery cell manufacturing for their planned joint venture to localize battery cell production for commercial electric vehicles. The partners first announced their plan to collaborate in September 2023.

On June 5, the partners announced they had completed the formation of their joint venture, now known as Amplify Cell Technologies. Amplify will produce differentiated lithium-iron-phosphate (LFP) battery cells.

“This strategic collaboration will advance zero-emissions technology for electric commercial vehicles and industrial applications,” said a release. “Amplify will soon begin construction of a 21-gigawatt hour [GWh] factory in Marshall County, Mississippi, with potential for further expansion as demand grows. The factory is expected to create more than 2,000 U.S. manufacturing jobs and is targeting the start of production in 2027.”

Competitive Advantage

When the partners first announced their collaboration in September 2023, they explained that LFP battery cells produced by the JV “will be able to offer several advantages compared to other battery chemistries, including lower cost, longer life and enhanced safety, without the need for nickel and cobalt raw materials. Accelera by Cummins, Daimler Truck and PACCAR expect to see growing demand for battery technology throughout this decade and U.S. customers will benefit from a state-of-the-art dedicated battery cell factory.”


Martin Daum“This planned joint venture enables economies of scale beyond Daimler Truck. It is a key puzzle piece of our battery industrialization strategy, ensuring access to the right battery cell technology at the right cost.” 
— Martin Daum, CEO, Daimler Truck


Accelera, Daimler Truck and PACCAR each own 30% of the business. EVE Energy serves as the technology partner with 10% ownership and “contributes its industry-leading battery cell design and manufacturing expertise to the venture,” the JV said. Based in China, EVE Energy also is constructing a major cylindrical battery and energy storage facility in Malaysia.

“Cummins’ power solutions are at the heart of the economy, and we have the responsibility to decarbonize in a way that meets our customers’ varied needs as they navigate the energy transition,” said Jennifer Rumsey, chair and CEO, Cummins Inc. “This is a significant step forward as we continue leading our industry into the next era of smarter, cleaner power.” In the earlier announcement in January, Rumsey said, “This site selection represents an exciting and tangible step toward advancing our Destination Zero strategy and our vision to lead the industry toward a decarbonized future. We are excited to join the Marshall County community to drive economic growth and job creation in Mississippi, while continuing to expand our strong partnerships and serve the diverse needs of our customers.”

“Amplify Cell Technologies will enable PACCAR to offer customers cost-effective premium quality battery electric powertrains that meet their operational and sustainability needs,” said PACCAR CEO Preston Feight.

“For Daimler Truck, a strict focus on costs and smart capital allocation are the key levers to succeed on the path toward truly sustainable transportation,” said Daimler Truck North America President and CEO John O’Leary. “This partnership enables economies of scale beyond Daimler Truck. It is a key puzzle piece of our battery industrialization strategy, ensuring access to the right battery cell technology at the right cost and right time for our customers.”

Reached the day after the June announcement of the JV formation, Lauren Daniel, a Cummins spokesperson, told me, “We are excited to have officially formed Amplify Cell Technologies. We are actively preparing for construction and will be sharing more during a groundbreaking ceremony on June 28.” 

Adam Bruns
Editor in Chief of Site Selection magazine

Adam Bruns

Adam Bruns is editor in chief and head of publications for Site Selection, and before that has served as managing editor beginning in February 2002. In the course of reporting hundreds of stories for Site Selection, Adam has visited companies and communities around the globe. A St. Louis native who grew up in the Kansas City suburbs, Adam is a 1986 alumnus of Knox College, and resided in Chicago; Midcoast Maine; Savannah, Georgia; and Lexington, Kentucky, before settling in the Greater Atlanta community of Peachtree Corners, where he lives with his wife and daughter.

     





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