- Boosting EV Manufacturing: $9.63B loan funds three U.S. battery plants, producing 120 GWh annually.
- Job Creation: Over 12,500 jobs, including 7,500 operations roles, created by BlueOval SK facilities.
- EV Market Leadership: Advances U.S. goals for domestic EV production and global competitiveness.
The Department of Energy (DOE) has approved its largest-ever loan of $9.63 billion to BlueOval SK LLC (BOSK) to construct three electric vehicle (EV) battery plants. These facilities—one in Tennessee and two in Kentucky—will supply batteries for Ford Motor Company’s growing lineup of electric Ford and Lincoln vehicles.
Why it matters:
The U.S. is racing to expand domestic EV production as part of the Biden-Harris Administration’s Investing in America agenda. This project supports President Biden’s target of making half of all new vehicles sold by 2030 zero-emission vehicles.
“Expanding domestic production of American-made batteries is critical to reducing America’s reliance on adversarial foreign nations like China,” the DOE stated.
What’s happening:
- Massive scale and impact:
- The three plants will produce 120 GWh of batteries annually—enough to meet significant domestic demand.
- The project has already created 5,000 construction jobs and will generate 7,500 operations jobs upon completion.
- Strengthening local communities:
BOSK partnered with Tennessee College of Applied Technology and Elizabethtown Community and Technical College in Kentucky to establish training programs for quality jobs at these facilities. - Reinforcing U.S. leadership:
This initiative positions the U.S. as a global leader in EV technologies and supports the nation’s climate commitments.
Related Article: Stellantis, CATL to Commit €4.1 Billion to Carbon-Neutral EV Battery Plant in Spain
The bigger picture:
The DOE’s Advanced Technology Vehicles Manufacturing (ATVM) Loan Program, which funded this project, is central to building a domestic EV supply chain. Recent loans have focused on critical mineral processing, battery manufacturing, and recycling to strengthen the sector.
BlueOval SK is a joint venture between Ford Motor Company and SK On, a Korean EV battery manufacturer. By combining U.S. innovation and global expertise, BOSK aims to secure America’s position in the rapidly expanding EV market.
Looking forward:
The DOE and BlueOval SK plan to finalize the project by 2030, ensuring the U.S. remains at the forefront of clean energy innovation while fostering economic growth and reducing reliance on foreign suppliers.
Follow ESG News on LinkedIn
The post DOE Grants $9.63B Loan to BlueOval SK for U.S. EV Battery Plants appeared first on ESG News.
