Article Summary –
The Department of Energy announced nearly $2 billion in grants to aid at-risk or shuttered auto manufacturing facilities in eight states, including Michigan, in transitioning from producing fossil fuel-powered vehicles to clean energy vehicles, with President Biden emphasizing support for American union workers and the future of the auto industry. These federal funds, part of the Inflation Reduction Act of 2022, will complement $177 billion in private sector investment in electric vehicle and battery manufacturing, with specific grants like $500 million for General Motors’ Lansing Grand River Assembly Plant and $157.7 million for ZF North America’s Marysville facility to retain and create jobs while shifting to electric vehicle production. This act represents the largest federal investment in combating climate change in U.S. history and faced unified opposition from Republicans in Congress.
The Department of Energy announced on July 11 grants for at-risk auto manufacturing facilities in eight states, including Michigan, to aid the shift to clean energy vehicles.
President Joe Biden stated, “This fulfills my promise to support manufacturing communities and workers left behind by my predecessor. These grants ensure the future of the auto industry is made in America by union workers.”
The Energy Department stated the federal support aligns with $177 billion in private investments in electric vehicle and battery manufacturing since Biden’s tenure began.
Michigan’s $500 million grant goes to GM’s Lansing Grand River Assembly Plant for retooling. The upgrade will use domestically made batteries and create 50 new positions, retaining 650 jobs. GM plans to collaborate with the United Auto Workers for electric vehicle training.
Another Michigan recipient, ZF North America in Marysville, will receive $157.7 million to produce electric vehicle components, retaining 536 workers, 387 of whom are UAW members.
Funding also goes to facilities in Pennsylvania, Ohio, Georgia, Maryland, Illinois, Indiana, and Virginia.
The Domestic Manufacturing Conversion Grants program, part of the Inflation Reduction Act signed by Biden in 2022, represents the largest federal investment against climate change, supporting programs to lower greenhouse gases. The legislation passed without Republican support.
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