These private investments have also been boosted by programs under the Inflation Reduction Act, including the $1.7 billion announced last month by President Biden to help retrofit factories to manufacture up to 11 million electric vehicles annually. These announcements mark a significant global shift, as the commercialization and production of lithium-ion batteries over the past three decades have been dominated first by Japan and then by China. It is a homecoming of sorts, as U.S.-based researchers in the 1970s and ’80s helped to invent and develop lithium-ion battery technology; one researcher received the Nobel Prize in Chemistry in 2019 for his contributions, alongside others.
Locking down announced investments
Ensuring these announced investments result in actual domestic projects—and don’t get shifted to other countries—will require long-term regulatory certainty through the upholding of clean car and clean truck standards, together with successful implementation of the investments under the Bipartisan Infrastructure Law, the Inflation Reduction Act, and state programs. Unfortunately, the oil industry lobby, including the American Fuel & Petrochemical Manufacturers, is spewing misinformation to try and roll back the policies helping the transition to new, fossil-free technologies to keep American consumers and their pocketbooks hooked on oil.
The good news is that states and counties across the country are seeing real investments being made, boosting the local economies and creating good jobs. Most state and federal officials know that the smart move is to bet on the future, not the past.
What we need now is regulatory stability so that companies can feel confident in investments and continue to implement current commitments, which will ensure that the United States can be a global leader in the EV transition and attract new investments and jobs. And there is a historic opportunity for the United States to build batteries better by making these new supply chains circular and more sustainable through domestic investments in recycling, reusing, and reducing waste.
Almost overnight, the United States is poised to become a global leader in innovative, cleaner, and cost-effective electric vehicle manufacturing. Record investments in a cleaner future can help boost the economy, create jobs in communities across the country, and provide a cleaner and more affordable way of moving people and goods. Let’s get to work!
