The US administration has outlined intentions to invest US$2bn from the 2022 Inflation Reduction Act to promote the progress of US EV production and support underperforming facilities, Reuters reported.
The administration reportedly has faced criticism “over proposed environmental rules aimed to help usher in the EV era”.
In April, the Environmental Protection Agency (EPA) proposed regulations that aim for the switch of up to two-thirds of the new vehicle market towards EVs by 2032.
The Alliance for Automotive Innovation reportedly called the proposal a “de facto battery electric vehicle mandate” that was “neither reasonable nor achievable””
The United Auto Workers (UAW) has also warned that due to the sudden change thousands of jobs could be at risk in states such as Michigan, Ohio, Illinois, and Indiana.
In response, speeding UP grants and other subsidies could be offered in order to help existing plants switch to accommodate increased EV production.
How well do you really know your competitors?
Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
Thank you!
Your download email will arrive shortly
Not ready to buy yet? Download a free sample
We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form
By GlobalDataThe Domestic Manufacturing Conversion Grants for EVs programme will provide cost shared grants for making efficient hybrid, plug in electric hybrid, fully electric, and fuel cell vehicles.
The programme was said, by the Department of Energy’s Vehicle Technologies Office, to concentrate on projects aimed at reviving plants that have recently stopped operations or are anticipated to stop soon.
Reuters said individual awards could range from $25m to $500m with funding being accessible until September 2031.
