US battery supply chain investments reach US$92 billion since Biden took office
An overview of battery supply chain investments in the US since Biden took office in January 2021. ICL’s new plant is located on the border of Missouri and Illinois. Image: Department of Energy.
A total of US$92 billion has been invested in the US battery supply chain since President Joe Biden took office in January 2021, including recent projects announced by ICL and Rhyolite.
The figure includes government and private sector investments into the country’s battery supply chain, including recycling, materials separation and processing and component manufacturing. A total of 78 facilities have been announced, with 72 of them pictured in the above infographic.
ICL said that by 2025, the share of LFP batteries is expected to reach 30% of all battery shipments by 2025, driven by increased adoption in the EV space as well as growth in energy storage and EV charging infrastructure, two sectors increasingly opting for LFP chemistry ahead of nickel-manganese-cobalt (NMC).
Earlier in the month, the DOE’s Loan Programs Office, headed by industry veteran Jigar Shah, announced a conditional commitment to provide a US$700 million loan for an upstream lithium project. The Rholite Ridge project in Esmerelda County, Nevada, would process lithium carbonate which would provide the needed material for around 370,000 EVs a year.
The Inflation Reduction Act increased the LPO’s loan authority from US$60 billion to US$100 billion. The institution offers interest rates at US treasury levels and also has a longer tenor (repayment period) than a commercial bank, at 10-15 years versus just a few years for the latter.
As Energy-Storage.news has reported extensively, the Inflation Reduction Act and its precursor the Bipartisan Infrastructure Law have seen the investment climate around the US battery supply chain improve substantially.