Federal government boosts EV production with $50 million grant
The United States Department of Energy has announced a series of funding initiatives aimed at strengthening the domestic electric vehicle industry and creating jobs in the sector.
One of the key funding programmes is the $2 billion Domestic Automotive Manufacturing Conversion Grants programme. This funding will be used to help traditional automotive manufacturers transition their facilities to produce components for electric vehicles.
The teams working on these conversions will collaborate with Argonne National Laboratory to navigate the transition to the electric vehicle sector or adjacent markets. This initiative is designed to ensure that workforces that have defined the auto sector for the last 100 years will have the opportunity to shape the next 100 years.
In addition to this, the Department of Energy has announced $1.5 million under the expanded Industrial Training and Assessment Center (ITAC) program. This programme is aimed at helping small suppliers navigate the emerging electric vehicle manufacturing industry. The funding from the ITAC program will support three teams of technical assistance providers.
The ITAC program is intended to identify efficiency upgrades, cost savings for manufacturers, and improvements for the nation's manufacturing base. It will also help create and refine a playbook for small suppliers' transitions to electric vehicle production.
The Biden-Harris Administration expects the capital to create and preserve hundreds of union jobs at small- to mid-sized suppliers. The ITAC program provides assessments to small- and medium-sized manufacturing firms, offering them the necessary guidance to thrive in the electric vehicle industry.
Furthermore, the Department of Energy will award $50 million to six states for supporting manufacturing conversions in the electric vehicle supply chain. However, Michigan is not explicitly mentioned as a recipient of the grants in this paragraph, but it is stated that the grants are for states that meet certain eligibility criteria.
The funding announcements are part of the broader strategy to strengthen the domestic electric vehicle industry and the ITAC program is a part of the Biden-Harris Administration's efforts to support the transition to electric vehicles. The funding was announced in a press release on Aug 15, 2022.
It is important to note that the three technical assistance provider teams supported by the expanded Industrial Training and Assessment Center program for developing a playbook for small suppliers' EV transitions were not explicitly named in the August 2021 press release based on available search results.
In a separate initiative, the Department of Energy has also allocated $1.7 billion for EV conversions at closed or at-risk auto factories, as previously announced. This funding complements the efforts to support the transition to electric vehicles and create jobs in the sector.
Read also:
- Catastrophic blast at a US Steel facility in Pennsylvania causes 2 fatalities, inflicts injuries on 10 individuals
- Hyundai will commence production of the Ioniq 3 electric vehicle in Turkey from 2026 onwards.
- Hyundai's 2025 Elantra Hybrid to Cost $1,150 Less Than the 2024 Model in Pricing
- Solar worker faces potential job loss amid solar industry transition
