As the global demand for electric vehicles (EVs) continues to surge, non-US manufacturers are faced with the crucial decision of selecting the optimal location for establishing their manufacturing plants in the United States. This article will explore the various options and considerations for non-US EV manufacturers to help them make informed decisions.

Cleantech companies play a vital role in driving sustainable solutions and combating climate change, and recognition for their importance is being driven by policy measures such as the Inflation Reduction Act of 2022, the most significant piece of federal legislation that has ever addressed climate change.

The United States is experiencing an unprecedented rise in battery installations, mainly driven by strong demand in sectors like grid storage, electric vehicles, and built environment. Almost 50% of the CaPex for a battery manufacturing plant can be covered by new IRA tax credits, grants and loans.

In this article, we'll delve into the three US federal financing channels—tax credits, loans, and grants—to uncover how EV manufacturers and component suppliers are capitalizing on these opportunities to drive their profits.