Our Next Energy (ONE), a Michigan based startup has planned to build a $1.6 billion cell factory in southeast Michigan. The factory will produce lithium-iron phosphate batteries. In addition, the company is also intending to hire 2,112 people at the new factory. Furthermore, the state of Michigan has awarded $200 million grant to the battery producer company.

Aim to increase battery time

Michigan Governor Gretchen Whitmer stated the company will build its first ever battery manufacturing facility in Van Buren Township. Hence, this will make them one of the very few manufacturers of LFP and anode-free cells in United States. ONE started back in 2020 and the battery technology company has its headquarters in Van Buren Township. Their main focus is to increase the distance an electric vehicle can cover in a single charge. “The Michigan-based battery technology company aims to pioneer sustainable battery manufacturing practices to position the U.S. and Michigan, in particular, as a leader in the disruptive energy storage technology sector.” Michigan Economic Development CEO Quentin Messer addressed to a media briefing.

Concept of gigafactory

The battery manufacturing facility will span 659,589-square-foot facility. Moreover, the factory will include raw material refinement, cathode materials production and cell and battery manufacturing. They will process battery material on site. Thus, it will control each aspect of the supply chain which is a trait of any gigafactory. The factory is scheduled to come online in 2024 and reach full capacity by 2027. “With this new gigafactory, we will continue bringing the supply chain of electric vehicles, chips, and batteries home to Michigan and the USA while creating a sustainable, clean energy economy.” Gov. Gretchen Whitmer said in a statement.

Employment opportunities

The establishment of gigafactory will bring many potential employment opportunities in Michigan. Initially, the company announced that they intend to create more than 2,000 new jobs once the factory gets fully operational. In addition, the construction phase of the factory project will also bring plenty of indirect job opportunities.

The company expects to start production of its first battery in late 2022. Significantly, investors like BMW and Bill Gates’ Breakthrough Energy Ventures are also backing ONE.

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