02:19 PM EDT, 10/16/2025 (MT Newswires) -- (Updates with GM's reply in fourth and fifth paragraphs.)

General Motors ( GM ) and its joint venture partner, South Korea's Posco Future M, have paused the second phase of a cathode plant in Quebec, which has led to Vale (VALE) canceling plans for a nickel sulfate facility, Bloomberg News reported Thursday, citing General Motors ( GM ) and Vale.

General Motors ( GM ) had agreed in 2022 to source nickel from the Brazilian miner to support its electric vehicle supply chain, the report added.

General Motors ( GM ) will take $1.6 billion in related charges as part of its EV pullback, the firm said recently, according to the report.

General Motors ( GM ) told MT Newswires that construction for its Ultium CAM joint venture with POSCO Future M is progressing, with the facility expected to start cathode active material production for EV batteries in 2026.

"In light of evolving market dynamics, GM and our partners will pause the second phase of the project, which involves increasing production capacity of CAM and integrating battery precursor materials production," the company said.

Separately, Vale Base Metals told MT Newswires: "GM has changed the timing of its project in Becancour and will not need nickel sulphate in Quebec at this time. As a result, Vale Base Metals is cancelling its nickel sulphate plant project."

It added that it will continue to work with GM on their partnership to supply Canadian nickel into GM's North American supply chain.

Posco Future M didn't immediately reply to MT Newswires' request for comments.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

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