The Biden Administration announced that they would start a $3.1 billion plan to boost domestic manufacturing of electric vehicle (EV) batteries.
The funding will support grants aimed at building, retooling and expanding the manufacturing of EV batteries and battery components. As well, the grants will support the establishment of battery recycling facilities.
The funding comes from the $1 trillion infrastructure bill that included more than $7 billion to bolster the US battery supply chain.
This latest round of announcements comes after the Administration invoked the Defense Production Act to encourage the battery sector’s domestic production of critical minerals. The order will allow companies to receive federal funding for feasibility studies, reports CNBC.
At least to say, the push to electrify is at the top of the Biden Administration‘s to-do list.
So far, the Administration has:
- Set a goal of 50 per cent of light truck and car sales to be EV by 2030.
- Working on a plan to construct a national network of EV charging stations.
- Working to create a tax incentive for consumers who buy EVs.
- Pledged to replace the federal fleet by 2035 with EVs.
The Biden Administration did not clarify the requirements of the grants, nor did they announce if any companies have applied as of yet.