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The US private sector accounts for nearly a quarter of the announced $860 billion in global investment in electric vehicles through 2030. Financing opportunities via legislation are more than double that number.
Electric vehicles (EVs) are poised to become the mainstream transportation technology, as automakers around the world have announced investments close to a trillion dollars through 2030.
A report from the Atlas EV Hub tracks announcements around the world and has found that approximately $860 billion has been raised to build EV manufacturing and charging infrastructure. Almost a quarter of this figure corresponds to the United States, which has planned 210,000 million dollars in large projects of automobile manufacturers and infrastructure.
By the end of 2020, the United States was lagging behind other major markets, having announced $51 billion in domestic EV and battery manufacturing, less than half the $115 billion China announced at the time. However, following the passage of the Infrastructure Investment and Jobs Act and the Inflation Reduction Act (IRA), the US has supercharged its EV momentum.
As of the end of Q3 2022, Europe leads with $238 billion announced, followed by the US and Asia excluding China with $210 billion each, $199 billion in China and $10 billion outside these regions (including Mexico, Canada and Australia), reports Atlas EV Hub.
Since the beginning of 2021, investments have amounted to more than $150 billion, notes the Atlas EV Hub. This investment is backed by $83 billion in loans, grants and tax credits set forth in the new legislation. It has also been boosted by a 40% increase in EV sales in the United States in 2022.
This includes $8.1 billion in grants and $25 billion in loans specifically earmarked for the production of low- or zero-emission vehicles or batteries. The IRA includes $10 billion in tax credits for various manufacturing facilities, including those for electric vehicles and batteries. In total, between the two laws there is at least $145 billion in financing that EV charging projects could qualify for, according to Atlas EV Hub.
Major announcements from automakers include:
Ford : announcement of 50,000 million dollars for the manufacture of electric vehicles in Kentucky, Michigan, Missouri, Ohio and Tennessee, as well as in Cologne (Germany).
General Motors : $35 billion by 2030, manufacturing electric vehicles in Indiana, Michigan, Ohio and Tennessee, Canada and Mexico.
Stellantis – Formed in 2021 by Fiat Chrysler and French group PSA, it has announced $35.5 billion worldwide and EV manufacturing in Canada, Italy and Indiana.
Tesla : plans to invest at least 32,000 million dollars until 2024 and up to 80,000 million until 2030. Gigafactories planned in China, Germany, California and Texas.
Rivian: New American company that has raised 22,000 million dollars. Manufactured in Illinois and Georgia.
Lucid Motors : New American company that has raised 12,000 million dollars. Manufactured in Arizona.
Car and battery manufacturers also plan to invest $54 billion in 37 facilities dedicated to manufacturing batteries for electric vehicles. At full capacity, the facilities could produce 654 GWh of capacity, enough to supply 10 million light-duty vehicles a year by 2030.
“With more than $245 billion eligible for electric vehicles from the IIJA and IRA and $210 billion in private investments already announced for electric vehicle and battery manufacturing, the United States is poised to become a world leader in the transition to electric vehicles. electric vehicle,” said Nicole Lepre of the Atlas EV Hub. |
