Biden awards $1.7 billion to boost electric vehicle production in 8 states

General Motors plants in Michigan to receive millions in federal funding for electric vehicles

(CBS DETROIT) – The Biden administration is awarding $1.7 billion to auto manufacturing and assembly facilities in eight states for electric vehicle production. 

The funding will go to 11 "shuttered or at-risk" facilities in Michigan, Ohio, Pennsylvania, Georgia, Illinois, Indiana, Maryland and Virginia. The investments are intended to help create and retain well-paying union jobs at the facilities, according to the release.

"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."  

Biden administration awards $1.7 billion to boost electric vehicle production in 8 states

The funds for the awards come from the Inflation Reduction Act, and the selected projects would reportedly create over 2,900 new jobs and ensure 15,000 union workers are retained at all the facilities, according to the White House.

Among the recipients are two facilities in Michigan. A General Motors plant in Lansing will receive $500 million to convert a plant to electric vehicle production, and just over $150,000 will go to a ZF plant in Marysville for e-mobility conversion. 

A $32.6 million grant will go to American Autoparts, Inc., a subsidiary of Hyundai Mobis Co., to convert the existing Ohio plant to produce chassis for electric vehicles and create a new battery system assembly plant.

An idled Belvidere Assembly Plant in Illinois will be converted to assemble electric vehicles, with help from a $334.7 million grant. And $79.7 million will go to Blue Bird Body Company in Georgia to produce electric buses.

The facilities that were selected for this funding will negotiate before they receive the awards, which will allow them to make a variety of products for the automotive supply chain, including parts for electric motorcycles and school buses, hybrid powertrains, heavy-duty commercial truck batteries and electric SUVs, according to the release. 

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