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- American Battery Solutions potentially receiving $165.9 million loan from DOE to manufacture battery systems
American Battery Solutions potentially receiving $165.9 million loan from DOE to manufacture battery systems
The U.S. Department of Energy (DOE) announced a conditional commitment to American Battery Solutions (ABS) for a $165.9 million loan to help finance the expansion of an advanced battery pack assembly facility to support light-, medium- and heavy-duty electric vehicle (EV) and industrial equipment applications at its Springboro, Ohio, and Lake Orion, Michigan, facilities.
If finalized, the loan will facilitate ABS’s production of approximately 4.2 GWh of lithium-ion battery packs annually at full capacity by 2026. This level of battery production capacity could support enough EVs to displace approximately 71,000 metric tons of CO2 emissions each year from gasoline-powered vehicles. The project is expected to create or support 460 operations jobs in Springboro, Ohio; Lake Orion, Michigan; and surrounding communities.
ABS aims to expand its lithium-ion battery pack assembly capacity to meet the growing demand from the EV market. The project will finance the construction of four high-voltage (HV) and four low-voltage (LV) battery pack assembly lines in Springboro, Ohio. ABS will also upgrade its existing battery cell testing and quality control equipment at its existing facility in Lake Orion, Michigan.
ABS procures cells from third parties, allowing it to remain adaptable and responsive to advancements in battery chemistry cost and performance. This enables ABS to focus on the other critical steps in the manufacturing process—such as design, assembly, and integration.