As many as 11 closed or at-risk auto manufacturing and parts assembling companies in eight US states will be funded by the US Department of Energy (DOE) to be converted into electric vehicle and components production units.
The DOE has announced $1.7 billion in funding to transform 11 auto manufacturing and assembly plants in eight states—Michigan, Ohio, Pennsylvania, Georgia, Illinois, Indiana, Maryland, and Virginia.
The investments are expected to create and preserve thousands of well-paying union jobs and support auto communities that have been central to the US economy for generations.
The Domestic Manufacturing Auto Conversion Grants programme aims to keep the US at the forefront of auto manufacturing, driven by the communities and workers with the most expertise. Recipients will receive awards to produce a wide range of automotive components, including parts for electric motorcycles and school buses, hybrid powertrains, heavy-duty truck batteries, and electric SUVs.
Awards are contingent on negotiations to ensure commitments to workers and communities are fulfilled. The DOE will also conduct environmental reviews to ensure the awards align with the Administration’s clean manufacturing goals, including necessary mitigations. If awarded, the projects are projected to create over 2,900 new high-quality jobs and retain more than 15,000 skilled union workers across all eleven facilities.
“There is nothing harder to a manufacturing community than to lose jobs to foreign competition and a changing industry,” said U.S. Secretary of Energy Jennifer M. Granholm. “Even as our competitors invest heavily in electric vehicles, these grants ensure that our automotive industry stays competitive—and does it in the communities and with the workforce that have supported the auto industry for generations.”