Congressman Tim Ryan Introduces Bipartisan Bill to Strengthen Domestic Battery Manufacturing Supply Chain
Washington, DC – Representative Tim Ryan (D-OH) today joined with Representatives Mike Doyle (D-PA), David B. McKinley, P.E. (R-WV), Marc Veasey (D-TX), and Debbie Dingell (D-MI) in introducing the bipartisan Battery Material Processing and Component Manufacturing Act, H.R. 4864, which aims to strengthen the domestic battery manufacturing industry by providing grants for the construction or retooling of facilities for processing battery materials or manufacturing of battery components.
“By 2030, 30 million electric vehicles will be made somewhere. I want them to be made here in the United States. But we need federal investments like the one this legislation provides if we are going to be a world leader in the electric vehicle market. It's legislation like this that will help us not only be at the forefront of technology, but it will help us create jobs and transition our workers to the next generation of American manufacturing,” said Congressman Ryan.
With demand for batteries skyrocketing and continuing to rise as a result of the growth in electric vehicles as well as home and grid storage, developing a domestic supply chain for batteries is vitally important.
Today, the US finds itself dependent on international competitors for battery minerals and technologies as China maintains a stranglehold on all stages of the battery supply chain, which is achieved with poor labor and environmental standards. This is not only an economic security issue; it is a national security issue. By investing in a robust battery supply chain, the US can create jobs, reduce emissions, enhance our economic and national security, and provide innovative leadership in battery markets both at home and abroad.
To capitalize on these opportunities, The Battery Material Processing and Component Manufacturing Act of 2021 will inject much-needed funding, in the form of cost-shared grants, into the midstream sectors of the battery supply chain.The bill would provide $10 billion for building a domestic battery supply chain. Funding for the grants is split between $3.5 billion for materials processing and $6.5 billion for component manufacturing and recycling.
Grants would fund demonstration and commercial-scale facilities as well as the retooling, retrofitting, or expansion of existing facilities that process battery materials such as lithium and graphite, manufacture battery components such as anodes and cathodes, or recycle battery materials for reuse. Additionally, the grants will be prioritized for projects that provide workforce opportunity to those in low income communities.
Not only would this legislation improve our national security, but it would also make the US more competitive in the global marketplace and help spur significant economic growth through the creation of new advanced manufacturing jobs.
“The U.S. needs strong domestic supply chains for our industries to be secure and to grow,” Congressman Doyle said today. “This bipartisan legislation will ensure that the battery supply chain for electric vehicles as well as homes, businesses, and grid storage is located here in America, providing good-paying jobs. This legislation will grow our economy, provide manufacturing jobs in communities that have lost them, help the U.S. remain a leader in innovation, and ensure that our auto industry has a reliable domestic supply chain. This is the type of investment we must make to remain competitive globally, and I am proud we have a great group of bipartisan leaders on this issue.”
“For far too long the U.S. has relied on countries like China for supplies of critical minerals and rare earth elements,” said Representative McKinley. “This is a direct threat to our national security and energy security. “This bipartisan legislation is an important step forward to ensuring a domestic supply of critical minerals that are critical to manufacturing battery and battery components.”
“As our energy and transportation systems continue to evolve, it is vitally important that America continues to lead the way,” said Congressman Veasey (D-TX). “Companies with a significant manufacturing presence in the Metroplex will play a key role in helping to decarbonize the transportation sector through the deployment of electric vehicles. We must ensure that the batteries used have secure domestic supply chains and that we are building the infrastructure to ensure they can be recycled at the end of their life. That is why I’m proud to cosponsor the Battery Material Processing and Component Manufacturing Act, which is essential to achieving that goal.”
“Building batteries and processing facilities in America is critical to creating and maintaining good-paying union jobs while also keeping our competitiveness strong,” said Representative Dingell. “We must strengthen our domestic manufacturing and supply chains for batteries here at home to continue supporting the mobility industry – especially for the people of Southeast Michigan – so we can keep the United States at the forefront of auto technology and innovation. Domestic manufacturing shouldn’t be a partisan issue, and I’m proud to lead this bipartisan effort with my colleague Rep. Doyle so we can support working families and drive innovation.”
The bill is endorsed by the Battery Materials and Technology Coalition (BMTC), which said, “These provisions, championed by Representative Doyle, serve as the building blocks for battery manufacturing in the United States that will power our way of life long into the future. Investments now will help meet the growing demands of an electrified economy, create jobs, and scale U.S. leadership in this critical industry. We laud this work, but understand this is the beginning of a long journey to develop and keep these foundational investments in the U.S.”
Companion legislation is forthcoming in the Senate from Senator Catherine Cortez Masto.
You can find text of the bill here.