America’s largest automaker said “Factory Zero” will mark the grand opening during Biden’s visit on Wednesday. The factory, which spans parts of Detroit and Hamtramck, actually opened in 1985 but GM said in 2020 they will use it again to build electric truck and SUVs.
Biden will discuss $7.5 billion in funding for electric vehicle charging stations in a recently approved infrastructure bill, as well as how electric vehicles will reduce emissions, improving air quality and creating “high-paying, unionized jobs across the country,” the White House said.
GM’s CEO Mary Barra will attend Wednesday’s event.
In August, Biden signed an executive order to make half of the new car sell electricity by 2030. 50% target, not legally binding and inclusive dip into the mixture gasoline-powered models, which have won the support of American and foreign automakers, say achieving this will require billions of dollars in government funding.
The proposed $1.75 trillion climate and social spending bill includes an EV tax credit of up to $12,500, including a $4,500 incentive for union-made and 500-plus vehicles dollars for American-made cars the battery. The cost of the tax credit is estimated at $9.6 billion over 10 years.
It also includes new EVs old car tax credits, $3.5 billion in funding for automakers to convert existing plants into electric vehicles and components, and $9 billion for the government and the U.S. Postal Service to purchase electric vehicles and charging infrastructure.
On Thursday, the key Democratic Senator Joe Manchin Expresses Opposition to Unions EV Clause.
Biden has repeatedly refused to push back a specific date to phase out new gasoline-powered vehicles. NS The US does not join some other countries in Glasgow in supporting a phase-out by 2040.
The EV tax credits will disproportionately benefit Detroit’s Big Three automakers – GM, Ford and Stellantis NV, the parent company of Chrysler, which assembles US-made vehicles at factories represented by the union.
Foreign automakers have harshly criticized the decision for cars made by the alliance.
Democrats’ proposal to phase out tax credits gradually after automakers hit 200,000 electric vehicles sold, which would again make GM eligible, along with Tesla.
Tesla and foreign automakers don’t have unions to represent US factory workers, and many have fought UAW efforts to organize the factories of the United States.
GM in 2020 said it was renaming its Detroit-Hamtramck assembly plant “Factory Zero” when it announced a $2.2 billion investment to convert the plant to EVs. The GM plant has built more than 4 million vehicles, including Chevrolet Volt Dip into the mixture.
In September, Detroit won a US Department of Commerce US$4 million grant to recreate degraded roads to support Factory Zero.