The fast-growing electric vehicle manufacturing industry has gotten a major boost after receiving $3 billion in infrastructure funding from the U.S government.
In a statement released on Monday, the government said the money will support the processing of minerals to enhance the manufacturing and recycling of large-capacity batteries. The fund to be allocated to the Department of Energy is part of the $1 trillion infrastructure bill President Joe Biden signed last year.
This announcement comes at a time when the Russian-Ukrainian conflict has caused uncertainty in the energy sector. Mitch Landrieu, the White House infrastructure coordinator, had this to say about it.
“As we face this Putin price hike on oil and gas, it’s also important to note that electric vehicles will be cheaper over the long-haul for American families,”
The move by the White House has been applauded by industry players who see Electric vehicles (EVs) as a long term solution to global warming and the perennial fuel challenges.
Steven Croley, Ford’s general counsel, said, “This investment will strengthen our domestic battery supply chain, create jobs, and help U.S. manufacturers compete on the global stage,” Croley added, “We have a moment of opportunity to own this technology here in the U.S., and investments like the one announced today will help us get there.”
The EV sector is set to overwhelmingly overturn overreliance on fossil fuels. Around the globe, nations are formulating policies and infrastructure to ensure that the industry takes.
The Biden administration expects half of all vehicles sold in the United States by 2030 to be electric.