BMW, DOE announce EV battery investments

Investments in electric vehicles (EVs) continue apace in late October, with BMW joining Honda this month in announcing the location of an EV battery manufacturing plant in the United States. Taxpayers also are involved in the investment frenzy, with the U.S. Department of Energy (DOE) announcing  $2.8 billion in funding designed “to expand domestic manufacturing of batteries for [EVs] and the electrical grid.”

After American Honda Motor Co. selected its home state of Ohio as the site of its EV battery plant earlier this month, BMW Group has traveled a similar route, selecting a location in its U.S. operations’ home state of South Carolina.

The Spartanburg, South Carolina-based Plant Spartanburg operations of BMW Group calls its planned $1.7 billion investment part of “the roll-out of its electromobility plan.”

The announcement from BMW Group Board Chair Oliver Zipse says the investment includes $1 billion “to prepare for the production of electric vehicles at the company’s existing U.S. manufacturing facility in South Carolina, and $700 million to build a new high-voltage battery assembly facility in nearby Woodruff, South Carolina.”

By 2030, Germany-based BMW Group says it will build “at least six” fully electric models in the U.S. “For decades, Plant Spartanburg has been a cornerstone of the global success of the BMW Group—the home of the BMW X models that are so popular all over the world,” Zipse says.

“Going forward, it will also be a major driver for our electrification strategy, and we will produce at least six fully electric BMW X models here by 2030," he continues. "That means: The ‘Home of the X’ is also becoming the ‘Home of the Battery Electric Vehicle.’”

Zipse was joined at Plant Spartanburg for an announcement ceremony by South Carolina Gov. Henry McMaster and other state and regional elected and appointed officials.

In Washington, the Biden Administration and DOE disclosed where most of the previously announced $3.1 billion in funding to spur EV battery sector growth will be heading.

The DOE has identified 20 companies or collaborative efforts tied to battery and battery materials production that will receive funding. At least two of the companies receiving funding are involved in battery materials recycling: Kentucky-based Ascend Elements; and a facility in Ohio operated by North Carolina-based Cirba Solutions (formerly Retrieve Solutions).

“Producing advanced batteries and components here at home will accelerate the transition away from fossil fuels to meet the strong demand for electric vehicles, creating more good-paying jobs across the country,” U.S. Secretary of Energy Jennifer M. Granholm says.