LANSING — Michigan will give companies $410 million to open two electric vehicle battery plants following approval of transfers by a legislative panel on Wednesday.

The Democratic-led Senate Appropriations Committee authorized the subsidies for Ford Motor Co. ($210 million) and Novi-based Our Next Energy Inc. ($200 million) on 15-4 votes.

They did not vote on a $175 million package for Gotion Inc., a Chinese company with a U.S. headquarters in Silicon Valley, and The Right Place, a Grand Rapids-based economic development organization supporting the Gotion project.

Ford’s factory will be in Marshall, Mich., ONE’s in Wayne County’s Van Buren Township.

The Michigan Strategic Fund board previously approved the aid, part of broader incentives packages for the multibillion-dollar plants, but final legislative authorization was needed to transfer money within the Strategic Outreach and Attraction Reserve Fund. The House budget panel gave its blessing, including for the Gotion aid, in March.

Ford plans to build a $3.5 billion, 2,500-job EV battery plant, a project getting significant taxpayer support. The state has also awarded the automaker a 15-year tax break worth $772 million and authorized a $36 million loan for the Marshall Area Economic Development Alliance to buy, improve and transfer land. Gov. Gretchen Whitmer has signed a bill with $630 million to prepare the megasite for Ford, and an additional $120 million is expected to be sought at a later date.

ONE plans to open a $1.6 billion, 2,100-job EV battery factory. The state has also OK’d a $21.7 million tax exemption and a $15 million loan.

Gotion plans to build a nearly $2.4 billion, 2,350-job EV battery plant. The state has also awarded a 30-year tax break worth $540 million.

Source link

By Admin

Leave a Reply

Your email address will not be published. Required fields are marked *