FYI: The Biden-Harris administration announces an additional $3 billion investment to boost America’s battery production, emphasizing EV battery supply chain localization and job creation.
Biden-Harris Administration Injects $3 Billion into U.S. Battery Production
In a decisive move to bolster America’s battery production capabilities, the Biden-Harris administration has unveiled an additional $3 billion investment. This influx of government grants and loans aims to fortify the entire battery supply chain, spanning solid-state batteries, recycling, silicon-anode production, LFP batteries, and more. The significant portion of this funding is earmarked for southern states, with the initiative projected to create around 12,000 new construction and manufacturing jobs.
Following years of trailing behind China in the battery sector, the U.S. is making strategic moves to catch up and localize its electric vehicle (EV) battery supply chain through increased domestic production.
Key Funding Details and Beneficiaries
The U.S. Department of Energy (DOE) will allocate this funding to 25 projects across 14 states. South Carolina emerges as a primary beneficiary, hosting six of these projects. According to DOE projections, this round of investments is expected to generate approximately 12,000 jobs. Here are some standout projects receiving substantial federal support:
- American Battery Technology Company, South Carolina: $150 million to build a lithium-ion battery recycling facility with a processing capacity of 100,000 tons of battery materials annually.
- Albemarle U.S. Inc., Charlotte, North Carolina: $67 million to retrofit a plant for producing commercial-grade anode materials for next-gen EV batteries.
- SWA Lithium, West Arkansas: $225 million to produce 45,000 tons of lithium carbonate, supporting a lifespan of over twenty years.
- TerraVolta Resources, Texas: $225 million to yield 25,000 tons of lithium carbonate equivalent, aiming to power 500,000 EVs and mitigate over 2.2 million tons of CO2 annually.
Comprehensive List of Funding Recipients
Below is a detailed roster of companies receiving federal funds, along with their respective focus areas and locations:
| Name | Federal Cost Share | Supply Chain Segment | Location |
|---|---|---|---|
| American Battery Technology Company | $150 million | Recycling | South Carolina |
| Albemarle U.S. Inc. | $67 million | Lithium anodes | Charlotte, NC |
| Ascend Elements | $125 million | Recovery, purification of graphite | Hopkinsville, KY |
| Blue Whale Materials | $55 million | Recycling | Bartlesville, OK |
| Braskem America | $50 million | Polyethylene production | La Porte, TX |
| Cabot Corporation | $50 million | Conductive additives | Van Buren Township, MI |
| Cirba Solutions | $200 million | Recycling | Columbia, SC |
| Clarious Circular Solutions | $150 million | Recycling | Florence, SC |
| The Dow Chemical Company | $100 million | Carbonate solvent for electrolytes | U.S. Gulf Coast |
| Element 25 | $166 million | Manganese separation and processing | Baton Rouge area, LA |
| EnerSys Advanced Systems | $198 million | Li-ion cell production | Piedmont, SC |
| Forge Battery | $100 million | High performance batteries | Morrisville, NC |
| Form Energy | $150 million | Iron-air storage energy system | Weirton, WV |
| Group14 Technologies | $200 million | Silane production for silicon anodes | Moses Lake, WA |
| Honeywell International | $126 million | Electrolyte salt production | Geismar, LA |
| Li industries | $55 million | Recycling | Kettering, OH |
| Mitra Future Technologies | $100 million | LFP production | Muskegon, MI |
| Nanograf | $60 million | Silicon anode production | Flint, MI |
| Revex Technologies | $145 million | Green nickel production | Champion and Gwen, MI |
| SKI U.S. | $150 million | Graphite production | Orangeburg, SC |
| Solid Power Operating | $50 million | Sulfide-based solid electrolytes | Thorton, CO |
| South 32 Hermosa | $166 million | Manganese production | Patagonia, AZ |
| SWA Lithium | $225 million | Lithium carbonate | Lewisville, AR |
| TerraVolta Resources | $225 million | Lithium carbonate | Texarkana region, TX |
| Urbix | $124 million | Graphite production | Muscle Shoals, AL |
Strategic Goals and Future Prospects
This comprehensive strategy not only seeks to boost production capacity but also aims to reduce dependency on foreign suppliers by strengthening the domestic EV battery ecosystem. By refining the supply chain for critical materials, the U.S. hopes to create a more resilient and self-sufficient industry capable of supporting the transition to electric vehicles.
In conclusion, this substantial investment marks a pivotal step towards enhancing America’s position in the global battery market and securing its future as a leader in automotive innovations.
For more insights and updates, reach out to us at tips@automotive.fyi, or on Twitter @automotivefyi.
Authored by: William Kouch, Editor of Automotive.fyi
