Tracking the EV battery factory construction boom across North America

EV battery production in North America has surged since 2019 due to investments by automakers and incentives from the Inflation Reduction Act.

: EV battery manufacturing in North America has significantly grown, with 34 battery factories now planned or operational. The Inflation Reduction Act has accelerated this trend, providing incentives and loans for domestic production. Major automakers like Ford, GM, and Tesla are heavily investing in battery facilities.

Electric vehicle battery production in North America has seen a remarkable increase since 2019, transitioning from just four factories to approximately 34 planned, under construction, or operational. The surge in investment by automakers and battery manufacturers has been partly driven by U.S. President Joe Biden’s Inflation Reduction Act, signed into law on August 16, 2022. This legislation has provided various incentives to reduce U.S. dependence on China for battery materials and promote domestic manufacturing.

Automakers such as Ford, General Motors, and Tesla have made significant investments in building battery plants. Ford has a joint venture with SK On to build three battery plants in the U.S., while GM has partnered with LG Chem and Samsung SDI on several battery projects. Tesla continues to expand its Gigafactory in Nevada and plans to start a new lithium refinery in Texas.

The Inflation Reduction Act emphasizes advanced manufacturing credits, offering financial incentives to producers of battery cells and modules. Companies are also investing in technologies like lithium-iron-phosphate and new battery cell designs to meet these requirements. Collectively, automakers and battery manufacturers have committed around $112 billion towards building facilities that aim to produce close to 1,200 gigawatt-hours annually before 2030.

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