Biden administrator awards $2.8 billion to increase US EV battery production
The Department of Energy is awarding $2.8 billion in awards to 20 organizations across the US that will advance the production of materials to make EV batteries domestically, the Biden administration declared today. The funding comes from the Bipartisan Infrastructure Law, and it’ll be important for a new “American Battery Materials Initiative,” which intends to get a supply of minerals for EVs and electric infrastructure (possibly things like home batteries). Considering that the Biden administration needs to make EVs half of new US car purchases by 2030, we’ll require a serious lift in battery production before then.
“The U.S. and its allies currently do not produce enough of the critical minerals and battery materials needed to power clean energy technologies,” the Biden admin wrote in a briefing. “China currently controls much of the critical mineral supply chain and the lack of mining, processing, and recycling capacity in the U.S. could hinder electric vehicle development and adoption, leaving the U.S. dependent on unreliable foreign supply chains.”
The new funding will uphold projects that expect to foster sufficient battery-grade lithium to fabricate 2 million EVs yearly, as well as sufficient graphite and nickel to every year deliver 1.2 million and 400,000 EVs. It’ll likewise empower a few historic undertakings, such as building the principal lithium iron phosphate cathode office, as well as the primary huge scope lithium electrolyte salt production facility, in the US.
In the wake of being matched by beneficiaries, the Biden administrator says the $2.8 million awards will prompt a speculation of more than $9 billion towards building EV batteries. Vehicle creators will likewise require more nearby stockpile sources to assemble EVs that make the most of the Biden administrator’s new $7,500 tax break, which require batteries and minerals delivered in the US.