The Macroeconomic Impact of Increased U.S. Electric Vehicle Battery Production | January 18, 2023
The Macroeconomic Impact of Increased U.S. Electric Vehicle Battery Production
Building a robust battery supply chain is critical to the growth of the U.S. electric vehicle (EV) market and is a core tenet of CALSTART’s U.S. Electric Vehicle Battery Initiative (EVBI). Conducted using REMI PI+ forecasting software, this study projects the economic benefits that will stem from a cradle-to-grave domestic EV battery supply chain. It estimates the increases in U.S. battery capacity, jobs, labor compensation, and gross domestic product that will result from mining battery materials all the way through battery recycling over the next 20 years (2021 through 2040). Using both moderate and high EV adoption scenarios, the analysis focuses on five components of the domestic EV battery life cycle: EV battery metal and mineral production, EV battery manufacturing, EV manufacturing, internal combustion engine vehicle manufacturing, and EV battery material recycling.
Developed by ERM for CALSTART, this report was made possible through generous support from members of EVBI: Controlled Thermal Resources, General Motors, Lithium Americas, Piedmont Lithium, and Retriev Technologies.