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Ford Battery Deal With CATL Attracts Backlash From US Senators, Reps – InsideEVs – Articles
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Ford’s announcement that it is investing $3.5 billion in a brand new EV battery cell plant in Michigan utilizing expertise from China’s CATL has caught the eye of Republican senators and representatives who referred to as for a federal investigation into the matter.
On February 14, Florida Senator Marco Rubio requested the Biden Administration to review Ford’s deal to make use of expertise from Chinese language battery firm CATL for a future LFP battery cell plant in Marshall, Michigan.
The senator wrote to US Treasury Secretary Janet Yellen, US Power Secretary Jennifer Granholm and US Transportation Secretary Pete Buttigieg calling for a direct Committee on Overseas Funding in the United States (CFIUS) review of the licensing settlement between Ford and CATL.
Within the letter, Senator Rubio additionally requested a dedication from the Biden Administration to not support Chinese language Communist Social gathering efforts by offering tax credit or other funding for the deal.
In a press release posted on his website, Rubio, who is the top Republican on the Senate Intelligence Committee, mentioned the deal “will solely deepen US reliance on the Chinese language Communist Social gathering for battery tech, and is doubtless designed to make the manufacturing unit eligible for Inflation Discount Act (IRA) tax credit.”
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He additionally mentioned he was “alarmed at Ford’s plan to determine a big, Michigan-primarily based manufacturing unit, structured as a completely owned subsidiary that licenses its expertise from CATL.”
The $430 billion Inflation Discount Act units restrictions on battery sourcing and is designed for the US to interrupt off from the Chinese language provide chain for EVs. The IRA will finally deny credit if any EV battery elements had been manufactured by a “international entity of concern,” in a provision aimed toward China.
Whereas the US Treasury declined to remark, US Power Secretary Jennifer Granholm mentioned on Twitter on Monday that “bringing superior manufacturing capabilities from abroad to the United States is key to our competitiveness, will stimulate our economic system, and create good-paying American jobs.”
Marco Rubio is not the one Republican politician to voice issues about Ford’s take care of CATL. Republican Home Majority Chief Steve Scalise tweeted criticism of the Ford deal, calling it “shameful,” whereas Republican Virginia Governor Glenn Youngkin mentioned final month that his state had withdrawn from the competitors to draw the Ford plant over issues about CATL’s CCP ties.
#Ford #Battery #Deal #CATL #Attracts #Backlash #Senators #Reps
Republican politicians have raised issues about Ford’s $3.5 billion funding in a brand new EV battery cell plant in Michigan, which can use expertise from Chinese language firm CATL. Senator Marco Rubio has referred to as for a federal investigation, asking the Biden Administration to review the licensing settlement between Ford and CATL. He has additionally requested a dedication from the US authorities to not present tax credit or other funding for the deal. Different Republicans, together with Home Majority Chief Steve Scalise and Virginia Governor Glenn Youngkin, have voiced their issues, with Youngkin withdrawing his state from the competitors to draw the Ford plant. US Power Secretary Jennifer Granholm has defended the deal, saying it’s going to stimulate the economic system and create jobs. The Treasury has declined to remark.
Dave Petchy
