The Biden administration has pledged $3.1 billion to start manufacturing batteries for electric vehicles in the US, as part of its massive push toward widespread electric vehicle adoption and sales. The money will not only be used to build new factories to produce EV batteries and associated parts, but it will also go towards converting factories that already exist.
The funding is part of the Bipartisan Infrastructure Law enacted in 2021 and is a drop in the bucket compared to the broader $1.2 trillion infrastructure package that will fund roads, bridges, rail, transit, and the electric grid. So we’re told.
$7.5 billion of that fund is allocated to creating a network of charging stations across the country, as well as an additional $7.5 billion to transition public transit toward zero-emissions technology.
According to Energy Secretary Jennifer Granholm, the new investments “will give our domestic supply chain the jolt it needs to become more secure and less reliant on other nations,” in reference to the ongoing war in Ukraine that has caused supply chain issues for the automotive industry at large.
An additional $60 million will be invested in battery recycling because after all, they don’t last forever.
The president seems to have fully embraced electrification in all aspects of his automotive experience, even if it means he can’t drive his lovely dark green C2 Corvette. Biden has previously said that he would love to drive an electric Corvette, if GM makes one (it will), and has personally test-driven both the GMC Hummer and the Ford F-150 lightning.
The government has previously said that it wants over half of all vehicle sales in the US to be fully electric by 2030, and that it will convert its own fleet of some-645,000 vehicles to electric in a similar timeframe (much to the chagrin of USPS).
The push towards total electrification will affect ICE vehicles as well, as the government mandates that automakers must have a fleet-wide standard rating of 49 miles per gallon by 2026.