According to a report by the U.S. Department of Energy, based on research from the Argonne National Laboratory, Georgia, Kentucky, and Michigan are expected to dominate the electric vehicle (EV) battery manufacturing industry in the United States by 2030.
Each state is projected to have a capacity of 97-136 gigawatt hours per year for EV battery production. Additionally, Kansas, North Carolina, Ohio, and Tennessee are expected to be significant players in the industry, with a planned capacity of 46-97 gigawatt hours per year by 2030.
The planned expansion of EV battery manufacturing capacity in North America is expected to increase from 55 gigawatt hours per year in 2021 to nearly 1,000 gigawatt hours per year by 2030 in order to meet the growing demand for EVs. According to the Federal Reserve Bank of Dallas, the planned investment in these factories is over $40 billion.
According to Nick Nigro, the founder of Atlas Public Policy, the projected EV battery manufacturing capacity in the United States by 2030 will be able to support the production of 10-13 million all-electric vehicles annually, positioning the country as a global competitor in the EV market.
Nigro added that this capacity will be sufficient to meet the goal set by the Biden Administration of achieving 50% EV sales in the country by 2030. The planned EV battery manufacturing plants, which will mostly produce lithium-ion batteries through partnerships between automakers and battery manufacturers such as Panasonic, Samsung, LG Chem, and SK Innovation, will be located near EV assembly facilities in North America. However, Nigro pointed out that training workers and establishing a reliable supply chain for necessary minerals will also be crucial for the industry’s success.