US officials have announced that the Biden administration will grant over $3 billion in infrastructure funding to finance the manufacturing of electric vehicle (EV) batteries.
The officials stated that the funds will be disbursed from the $1 trillion signed by President Joe Biden to the Department of Energy last year. The agency further stated that among the initiatives will be the processing of minerals for use in large-capacity batteries and recycling those batteries.
By 2030, President Biden wants half of the vehicles sold in the U.S to be electric pwered, as he hopes it will boost unionized manufacturing jobs in key election battleground states, also prevent Chinese competition in a fast-growing market, and also reduce climate-changing carbon emissions.
However, the administration is also using this as a strategy to develop and secure energy independence to break the long-term inflation pressures aggravated by Russia’s invasion of Ukraine on February 24.
While commenting, Ford’s general counsel, Steve Croley, stated that the investment will strengthen the automaker’s domestic battery supply chain, create jobs, and help U.S. manufacturers compete on the global stage.
The Biden administration has been collaborating with manufacturers, including Tesla Inc CEO, Elon Musk, General Motors CEO Mary Barra, and Ford CEO, Jim Farley.
