FACT SHEET: President Biden’s Economic Plan Drives America’s Electric Vehicle Manufacturing Boom
President Biden, American families, automakers, and autoworkers agree: the future of transportation is electric.
The President’s economic plan has generated an American, electric vehicle (EV) manufacturing boom that is creating new economic opportunity and tens of thousands of good-paying and union jobs across the country. Companies like Toyota, Honda, Ford Motor Company, General Motors, and Panasonic have announced investments in manufacturing in North Carolina, Michigan, Ohio, Missouri, Kansas, and elsewhere.
Since his first day in office, President Biden’s auto vision and leadership has positioned the United States to lead the EV future – to create jobs, make more in America, and fight climate change while advancing environmental justice. The President united automakers and autoworkers around the bold goal for electric vehicles to make up 50% of all vehicles sold in the United States by 2030. His economic agenda, including robust new “Made in America” policies, has spurred domestic manufacturing of EVs, EV chargers, and batteries. And, thanks to the Inflation Reduction Act, President Biden is making new and used EVs affordable for consumers and providing the auto industry market certainty.
- Since President Biden took office, companies have invested nearly $85 billion in manufacturing of electric vehicles, batteries, and EV chargers in the United States.
- The pace of this investment is accelerating – just in 2022, companies have announced $13 billion in domestic EV manufacturing – more than triple the investment in 2020. Companies have also announced $24 billion in batteries – more than 28 times the investment in 2020 – and over $700 million to support EV charging.
- The number of electric vehicles sold in the U.S. has tripled since the President took office.
PRESIDENT BIDEN’S ECONOMIC AGENDA IN ACTION
This manufacturing and jobs growth is being spurred by the President’s aggressive action to advance our EV future:
- The Bipartisan Infrastructure Law invests $7.5 billion to build a national network of 500,000 EV chargers so that charging EVs is predictable, reliable and accessible; more than $7 billion to ensure domestic manufacturers have the critical minerals and other components necessary to make batteries; and over $10 billion for clean transit and school buses.
- The Inflation Reduction Act provides incentives for buyers of new and used EVs, credits to help manufacturers retool existing facilities and build new manufacturing in the United States, and grants to deploy zero emission heavy-duty vehicles.
- The CHIPS and Science Act will make critical investments in building domestic capacity for the semiconductors necessary for electric vehicles.
HISTORIC PRIVATE SECTOR INVESTMENTS
Since President Biden took office, companies have announced investments of more than $36 billion in electric vehicle manufacturing and $48 billion in batteries right here in the United States.
Some new and recent example investments in the EV supply chain include:
EV and Battery Manufacturing
- Toyota announced an additional $2.5 billion investment in a Greensboro, North Carolina manufacturing facility.
- Honda and LG Energy Solution announced a $4.4 billion joint venture in a to-be-announced location in the U.S.
- Ford Motor Company announced it will invest $3.7 billion in assembly plants in Michigan, Ohio and Missouri and create 6200 jobs.
- Panasonic announced a $4 billion plant in De Soto, Kansas that will create 4,000 jobs. Panasonic is also reportedly evaluating a similar investment in an additional new battery factory.
- Vinfast announced a more than $5 billion investment in building electric vehicles and batteries in North Carolina that will create 13,000 jobs.
- Hyundai announced a $5.5 billion investment to build electric vehicles and batteries near Savannah, Georgia
- Through DOE’s Advanced Technology Vehicle Manufacturing program, the Department of Energy announced a $2.5 billion loan in July 2022 to General Motors for battery manufacturing facilities in Ohio, Tennessee, and Michigan.
- Samsung SDI America is investing $3.1 billion in Kokomo, Indiana to build batteries in a joint venture with Stellantis.
Battery Material Processing
- Piedmont Lithium announced a $582 million investment to establish a lithium hydroxide processing, refining, and manufacturing facility in Southeast Tennessee.
- Cirba Solutions, a battery recycling company, is announcing a new $200 million expansion of a lithium-ion battery recycling facility in Lancaster, Ohio and a goal to expand battery recycling by over 600%
Electric Vehicle Charging
- ABB is announcing a new EV charging manufacturing facility in Columbia, South Carolina capable of producing up to 10,000 chargers per year.
- Lincoln Electric, a longstanding domestic manufacturer of electric equipment, announced a new line of DC fast chargers in Cleveland, Ohio on August 29th.
- GM, in a partnership with Delta Electronics and EVgo will invest $750 million in EV charging infrastructure, including at Pilot and Flying J truck stops and gas stations.
- These investments are in addition to more than $700 million the White House announced in June, including new manufacturing facilities by ChargePoint, Flo, Siemens, Tesla, and Tritium.
NEW MODELS FOR CONSUMERS
President Biden’s economic plan and leadership are also driving automakers to create more models of electric vehicle than ever before for drivers to choose from – including trucks, SUVs, trucks, and more. In 2021, all major automakers announced their shared aspiration to achieve sales of 40-50% of annual U.S. volumes of electric vehicles (battery electric, fuel cell and plug-in hybrid vehicles) by 2030 in order to move the nation closer to a zero-emissions future consistent with Paris climate goals.
At the Detroit Auto Show, the evidence of this shift is easy to see. For example, Stellantis will showcase two new hybrid electric Jeeps and demonstrate the performance of electric in off-road applications. General Motors will show their entire EV portfolio and feature the new electric Equinox. Dozens of other automakers will show off their latest offerings, both in new models and versions of iconic brands.
Overall, the number of available plug-in models has grown to more than 70, with more new models coming up, including affordable options.
STRONG FEDERAL LEADERSHIP
When Congress passed President Biden’s Bipartisan Infrastructure Law, the United States not only made a once-in-a-generation investment in our nation’s infrastructure – but it created a historic opportunity to increase domestic manufacturing in communities across the country.
By requiring the use of Made in America content, the Build America, Buy America provisions in the Bipartisan Infrastructure Law will help stimulate private sector investments in domestic manufacturing, bolster critical supply chains, and support the creation of good-paying union jobs so that America’s workers and firms can compete and lead globally for years to come.
The Biden Administration is taking decisive action to ensure that federal investments go to infrastructure built in the United States. For example, the Department of Transportation issued a proposal in August that would, if finalized, require federally-funded EV chargers to be built in the United States starting in January 2023 and have more than 55% domestic content by January 2024. Unlike in the past, Build America, Buy America waivers will not foreclose American manufacturing, but send clear market signals, creating an incentive for firms to invest in America and create good jobs in our communities.
In addition, the proposed EV charging standards include strong workforce standards such as the Electric Vehicle Infrastructure Training Program (EVITP) to increase the safety and reliability of charging station’s functionality and usability – creating and supporting good-paying, highly-skilled union jobs across the country. IBEW, through the White House Talent Pipeline Challenge, has launched a challenge to certify 10,000 IBEW electricians through the program.
The Federal fleet is now poised to lead by example. In 2020, less than 1% of new federal acquisitions were electric. In President Biden’s first year, EV acquisitions more than doubled. So far, this fiscal year, agencies have acquired five times as many EVs as all of last fiscal year and are on track for the goal for 100% of new light-duty federal vehicles to be zero emission by 2027.