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cailianshe news, september 21 (editor: niu zhanlin)on friday (september 20th) local time, the u.s. department of energy announced that it would allocate more than $3 billion to 25 selected projects in 14 states to promote the production of more advanced batteries and battery materials in the united states.

the grants are part of president biden and vice president harris' plan to boost the production and sale of electric vehicles, a key element of their strategy to slow climate change and build u.s. manufacturing. the companies that receive the subsidies are mainly engaged in processing lithium, graphite or other battery materials, or producing components for electric vehicle batteries.

the u.s. department of energy said the lithium battery market could expand five to ten times by the end of the decade, making domestic investment crucial. this is the second round of u.s. government funding for electric vehicle battery projects, after $1.8 billion was allocated to 14 projects.

“today’s appropriations bring us closer to achieving the administration’s goal of building an end-to-end supply chain for batteries and critical minerals in the united states, from mining to processing to manufacturing and recycling, which is critical to reducing foreign dependence,” said white house economic adviser lael brainard.

brainard asserted thursday that the biden administration is committed to making batteries domestically in the united states because they are critical to the nation's power grid, homes, businesses and the iconic u.s. auto industry.

with the latest allocation of more than $3 billion, the u.s. government's subsidies for critical minerals and battery supply chains will reach $35 billion, ranging from large lithium mines in nevada and north carolina, to battery factories in michigan and ohio, to rare earth and magnet production in california and texas.

brainard noted that the u.s. government has used a variety of tools, from grants to loans to tax credits, and has leveraged more than $100 billion in private sector investment since biden took office.

u.s. department of energy officials said that once the 25 selected projects are determined, 8,000 construction jobs and more than 4,000 permanent jobs will be provided, and the corresponding companies will also need to put up the same amount of funds as the subsidies, with an investment amount of at least $50 million.

it is reported that among the projects that have been selected, albemarle will receive us$67 million for a project to produce battery negative electrode materials in north carolina; honeywell will receive us$126.6 million to build a plant to produce electrolyte salts in louisiana.

dow chemical received $100 million to produce battery-grade carbonate solvents for lithium-ion battery electrolytes, and american battery received $150 million to build a lithium-ion battery recycling facility in south carolina.

matthew mcdowell, an associate professor of engineering at georgia tech, said that while government funding may not have a decisive impact on some projects, the infusion of funds from infrastructure and climate bills in the past few years has dramatically changed the u.s. battery manufacturing industry.

mcdowell added that he is excited about the next generation of clean energy storage batteries, including solid-state batteries, which have the potential to store more energy than lithium-ion batteries.