- The Biden administration is granting $1.7 billion to boost electric vehicle manufacturing in eight key battleground states.
- Major carmakers like GM and Fiat Chrysler will use funds to create and retain thousands of union jobs.
- These grants, from the 2022 climate law, support Biden’s vision for a clean energy economy and domestic manufacturing.
The Biden administration will inject $1.7 billion into sites across eight states to revolutionise home-grown EV production
The Biden administration is injecting $1.7 billion into the EV sector, awarding grants to revive and expand manufacturing across eight states. The money will bolster the production capabilities of major carmakers like General Motors, Fiat Chrysler, and Volvo. The primary focus is on battleground states such as Michigan, Pennsylvania, and Georgia.
The Energy Department’s grants will create thousands of union jobs. These will provide a lifeline to auto-based communities that have long been integral to the US economy.
General Motors will receive $500 million to convert its Lansing, Michigan plant for EV production. Fiat Chrysler gain $335 million to repurpose an idle assembly plant in Illinois and $250 million to transform an Indiana transmission plant. Volvo will get $208 million to upgrade facilities for heavy-duty truck production in Pennsylvania, Virginia, and Maryland. Harley-Davidson will receive $89 million to expand its electric motorcycle facility in Pennsylvania.
These grants, funded by the landmark 2022 climate law, align with Biden’s vision for an American-made future in the auto industry. “Workers left behind by my predecessor are now making a comeback,” Biden remarked, underscoring his administration’s commitment to domestic manufacturing. The administration has already seen $177 billion in private-sector investments in EV and battery manufacturing since Biden took office.
The projected outcomes of this new round of funding include the creation of nearly 3,000 jobs and the retention of about 15,000 union positions across 11 facilities.
This level of investment has been made necessary by the extreme tariffs the same administration put on Chinese imports earlier this year. Suddenly, these affordable models from overseas are not so affordable anymore. Now, the US has to invest hard and fast in its home-grown manufacturing power if it’s to retain any hope of successfully decarbonising.
