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DOE to loan $2.5B to Ultium Cells

Written by Kfir Kedem – December 20, 2022

Reviewed by Asaf Kedem

Ultium Cells is an American battery cell manufacturer. The current major players in the industry are coming from Asia: CATL, LG, and Samsung. One third of the world’s EV batteries come from CATL in China.

The US Department of Energy (DOE) is localizing battery manufacturing with Ultium Cells. This will be done through the form of a loan worth $2.5 billion. Ultium Cells will utilize this funding to open up 3 battery manufacturing facilities in the US.

Auto Trendy’s take:

With political tension constantly growing between the US and China, it is a good move to localize EV battery manufacturing to the US and take some control of the market. Furthermore, the supply chain of these batteries towards car manufacturers will be more secure. This is due to the proximity, legislation, and familiarity that Ultium Cells will now have in the US.

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