POSCO Future M Co., a unit of South Korean steel giant POSCO Holdings Inc., revealed on Monday that Ultium CAM, its joint venture with General Motors (GM), has secured a major investment from the Canadian federal and Quebec provincial government. 

The funding, amassing about 300 million Canadian dollars ($221 million), aims to reinforce Ultium CAM, strengthen the essential battery material supply chain, and stimulate the development of environmentally conscious sectors like electric vehicles.

Formed in July last year, Ultium CAM is a collaborative effort between POSCO Future M and GM. The partnership committed $633 million to the construction of a cathode material facility in Becancour, Quebec. Set to be Canada's first of its kind, the plant is projected to produce up to 30,000 tons of battery material annually.

The recent government funding represents a sizeable part of the capital needed for the project. The latest financial injection is expected to stabilize the supply chain and pave the way for business growth, hastening the build-out of the production plant scheduled for completion in the latter half of 2024.