“President Biden Announces $1.7 Billion in Grants for Electric Vehicle Manufacturing – What You Need to Know”

President Joe Biden visited General Motors’ Factory ZERO electric vehicle assembly plant in Detroit, Michigan on Nov. 17, 2021, to announce a significant development in the electric vehicle (EV) manufacturing sector. The United States Department of Energy (DOE) has revealed plans to award $1.7 billion in grants to automakers in eight states to support the production of EVs.

According to Reuters, the grants aim to convert 11 “at risk” plants to produce one million EVs annually, safeguarding 15,000 jobs and creating 3,000 new positions. The Biden administration disclosed that Chrysler-parent Stellantis and General Motors (GM) will receive nearly $1.1 billion to repurpose existing facilities for EV production.

Energy Secretary Jennifer Granholm emphasized the importance of this initiative, stating that it aligns with the administration’s industrial strategy to bring manufacturing jobs back to the United States. President Biden echoed this sentiment, highlighting the significance of supporting American union workers and automakers in the transition to a clean energy economy.

In a bid to bolster domestic EV manufacturing, President Biden previously increased tariffs on Chinese EVs earlier this year. Despite these efforts, new EV sales have faced challenges, prompting the administration to focus on revitalizing the auto industry through investments in EV production.

GM is set to receive $500 million in grant funds for the conversion of its Lansing Grand River Assembly Plant to EV production. Stellantis will be awarded $334.8 million to repurpose its Belvidere Assembly plant for EV manufacturing and $250 million for the conversion of its Kokomo, Indiana Transmission Plant to produce EV components.

Other recipients of DOE grants include Hyundai Mobis, Harley-Davidson, Blue Bird, Cummins, Volvo Group, and ZF North America, each receiving funds for various EV-related projects. These grants signify a significant step towards expanding electrified vehicle offerings and enhancing EV production capacity in the United States.

Before the grants are finalized, the DOE will engage in negotiations with the recipient companies and conduct environmental reviews. President Biden expressed his commitment to supporting manufacturing communities and workers, emphasizing the importance of revitalizing the industry and ensuring that the future of auto manufacturing is made in America.

Overall, the DOE’s announcement of $1.7 billion in grants for EV manufacturing underscores the administration’s dedication to advancing clean energy initiatives and bolstering the domestic auto industry. The transition to EV production represents a pivotal moment in the country’s efforts to combat climate change and create sustainable economic opportunities for American workers.