Billions in funding could kick-start the US battery materials industry:
Both public and private funding for battery manufacturing in the US have exploded, sped by the passage earlier this year of the Inflation Reduction Act, which provides incentives for electric vehicles. Under the requirements in the new electric-vehicle tax credits, battery components must be sourced and made in the US or its free-trade partners. But much of the investment in battery manufacturing so far has been focused on later stages in the supply chain, especially factories that make battery cells for electric vehicles.
The new spending is an attempt to build out the earlier parts of the supply chain so the materials that go into a battery can also be made or sourced domestically. Making battery precursors in the US could help drive down costs for new technologies and ensure a steady supply of batteries, as well as establishing new companies and creating jobs.
The funding is a step toward "building the foundation of a domestic battery industry," Jonas Nahm, an assistant professor of energy, resources, and environment at Johns Hopkins, said in an email.
Multibillion-dollar manufacturing plants for battery cells and EVs are popping up all over the country. But earlier parts of the supply chain are still largely based in Asia, especially China, which makes up the vast majority of global capacity for mineral processing and electrode manufacturing.
This funding announcement reflects an attempt by the US to catch up, especially for processing the minerals used to make batteries. Four of the projects that received funding are companies working to extract and process lithium, a key metal for lithium-ion batteries. The supply of lithium may need to increase by 20 times between now and 2050 to meet demand. Lithium production represents "one of the vulnerable pieces of the supply chain," Nahm says.
(Score: 5, Insightful) by khallow on Friday October 21 2022, @01:53PM (11 children)
If you have to spend money just to have an industry that should naturally come about on its own, then you're doing your economy wrong.
(Score: 1, Insightful) by Anonymous Coward on Friday October 21 2022, @04:19PM
Is it time to admit corporations have won yet?
(Score: 5, Insightful) by quietus on Friday October 21 2022, @05:42PM (4 children)
Maybe this is not a matter of economy, but rather of security. If you want, or [going to] need, strategic independence: you will have to pay for it (as we in Europe are finding out).
(Score: 1) by khallow on Saturday October 22 2022, @03:54AM (3 children)
And keep paying for it year after year. There's no incentive for the business to become independent of public funding because that will substantially, if not completely, reduce profit. Well, hopefully the situation won't become dysfunctional enough that they're paying lithium miners not to mine lithium as some agriculture subsidies do [thecounter.org].
At some point, you have to pay attention to the economic problems underlying all of this not merely expect public funding to fix the symptoms.
(Score: 2) by quietus on Saturday October 22 2022, @08:36AM (2 children)
A bit like the race to the moon, you mean?
(Score: 1) by khallow on Saturday October 22 2022, @01:08PM
(Score: 0) by Anonymous Coward on Saturday October 22 2022, @08:24PM
Just like farm subsidies.
If there wasn't a more profitable way to get lithium than mining it here, companies would do it.
(Score: 2) by krishnoid on Friday October 21 2022, @06:24PM
Yeah, what are these people pedaling [youtu.be] anyway? On second thought, maybe public funding isn't the US's problem with battery technology -- or many, many other things.
(Score: 2, Touché) by Anonymous Coward on Friday October 21 2022, @08:41PM (3 children)
I know! Public works are a horrible thing! We gotta save that money for future Wall Street bailouts...
(Score: 1) by khallow on Saturday October 22 2022, @03:34AM (2 children)
Well, guess I shouldn't complain then? Two things to notice here. First, we have plenty of examples of horrible public works projects. I'm not imagining this. And Wall Street bailouts are a very similar public works project to what is proposed here!
(Score: 0) by Anonymous Coward on Sunday October 23 2022, @02:57AM (1 child)
No... giving money away to your "friends" and causing inflation is way different from kick starting a home grown battery industry. You really are a wannabe
(Score: 1) by khallow on Sunday October 23 2022, @11:51AM
Except, of course, when it's not. My take is that this will be more of the same giving-money-away-to-your-"friends" games. But I guess you must be young and need to play a few more games of "pull my finger" before you learn.
(Score: 0) by Anonymous Coward on Friday October 21 2022, @02:38PM
"This funding announcement reflects an attempt by the US to catch up"
Um... meanwhile traditional funding sources are busy chasing the brass ring where exponential profit growth is expected.
Why exactly is the middle class expected to pay for this?
(Score: 2) by HiThere on Friday October 21 2022, @03:31PM (2 children)
What should be done of offer to purchase shares in companies that look promising, even if the promise is one a longer time scale. But to insist on the right to have the company evaluated by independent competent-in-the-field experts (under a NDA). Possibly also supply access to experts in missing skills (at cost).
If the company requires repeated rounds of funding, this might end up with the government owning the company. I'm not sure this is any worse than a VC ending up owning the company.
Javascript is what you use to allow unknown third parties to run software you have no idea about on your computer.
(Score: 1, Touché) by Anonymous Coward on Friday October 21 2022, @03:49PM (1 child)
Anyone remember https://en.wikipedia.org/wiki/Solyndra [wikipedia.org] ?
Seagate got a wonderfully overbuilt building in Fremont for pennies after that fiasco.
(Score: 0) by Anonymous Coward on Friday October 21 2022, @06:16PM
Should have asked for a stadium.
(Score: 4, Funny) by Username on Friday October 21 2022, @04:22PM
Half way through the second paragraph I started reading this in a robotic voice. The "&$CurrentPresident&" is so great. His policy will reduce inflation by increasing spending.
Why yes, I'll vote Kodos.
>assistant professor of energy, resources, and environment at Johns Hopkins
Dude has a degree in three random buzzwords strung together. Yes, I happen to be an adjunct professor of synergy, structure, and globe.