A123Systems has submitted an application for federal funds to support the construction of lithium-ion battery manufacturing facilities, beginning with one in southeast Michigan.
The company asked for $1.84 billion, under the U.S. Department of Energy’s Advanced Technology Vehicles Manufacturing Incentive Program (ATVMIP).
If A123’s application is approved, this program would enable the company to dramatically expand production capacity in the United States, with full production volumes designed to supply battery systems for five million hybrid vehicles or half a million plug-in electric vehicles per year by 2013.
At full operation, A123 expects the combined plants would occupy as much as 7 million square feet and create over 14,000 jobs.
That release included supporting statements by executives at General Motors and Chrysler, as well as Shai Agassi, founder of the electric vehicle charging company Better Place.
Michigan Governor Jennifer Granholm said, "This plant will be a showcase to our economic turnaround in Michigan.
We look forward to working with A123Systems to support their growth in
our state.”
A123 was born out of the research labs of the Massachusetts Institute of Technology and was funded initially with a $100,000 grant from the U.S. Department of Energy in 2001. Existing A123 customers include AES, BAE Systems, Black and Decker, Cessna, Chrysler LLC, General Motors, Project Better Place, and Th!nk.
