At the core of the electric vehicle revolution is the battery. The U.S. has high-quality and advancing battery technology, but we have not made a full-scale commitment to producing the batteries needed here in this country.

CALSTART has launched EV Battery Leadership Initiative to support national efforts on this front. This initiative is a nonpartisan advocacy effort to secure the nation’s long-term competitiveness in the electric vehicle supply chain by securing $10 billion in smart and effective federal policy and investment by the end of the decade.

Initial priorities will include:

1. Investment in EV Battery Innovation

• • Materials Research: $2.3B for early-stage research and development on battery electrodes, electrolytes, cells and chemistries at U.S. Department of Energy (DOE)
  • DOE National Lab Consortium: $2B to establish DOE-led Battery Manufacturing Laboratory Consortium, modeled after the Grid Modernization Laboratory Consortium
  • Industry-Led Manufacturing Institutes/Hubs: $500M to create industry-led manufacturing innovation institutes modeled after the Manufacturing USA innovation institutes

2. EV Battery Manufacturing Incentives

• • Battery and EV Component Supply Chain Manufacturing Grants: Work with DOE to deploy $6B over 10 years for 1:1 cost share match with private sector for establishing or enhancing battery and EV component supply chain manufacturing facilities
  • Investment Tax Credits:
    • Passing the “American Jobs in Energy Manufacturing Act of 2021” introduced by Senators Debbie Stabenow (D-MI) and Joe Manchin (D-WV) to reauthorize the 30% Section 48C investment tax credit (ITC) for EV battery manufacturing, assembly lines, and facility buildout and retooling
    • Creating a 30% ITC to support EV battery manufacturing equipment-level investment by firms of all sizes to bolster participation in and competitiveness of a strategic domestic supply chain
  • Direct DOE Loans: Expand the DOE Advanced Technology Vehicles Manufacturing (ATVM) Program to emphasize that projects supporting the light-duty and medium- and heavy-duty vehicle EV supply chain are eligible for direct loans

3. EV Battery Workforce Development

• • Training: $100M to create new training programs to target workers that have lost jobs because of the clean energy transition underway
  • Standards: $100M to develop industry standards to ensure battery manufacturing workers are fully trained and qualified across the EV battery value chain