Monday saw the Biden administration announce a $3.1B plan to improve domestic battery manufacturing. It is part of an overall effort to move America from using gas-powered vehicles towards electric cars.

The electricification of transportation will play a crucial role in mitigating climate-caused changes. Transportation is the biggest contributor to U.S. greenhouse gases emissions. It accounts for about one third of all annual emissions.

The funding will support grants aimed at building, retooling or expanding manufacturing of batteries and battery components, as well as establishing battery recycling facilities, according to the Department of Energy. This funding will come from President Joe Biden. $1 trillion bipartisan infrastructure lawAdditional $7 billion is needed to strengthen the nation’s battery supply chains.

After the President invoked in April the Defense Production Act, the move follows. encourage domestic production of mineralsIt is required for the production of batteries that can be used in EVs or long-term energy storage. This order may help businesses receive federal funding to conduct feasibility studies for projects that involve the extraction of materials such as graphite, lithium, cobalt and manganese for EV production.

“These batteries made in America are going to reduce emissions and create opportunity across the country,” Gina McCarthy, White House National Climate Advisor Gina McCarthy stated during Monday’s call with reporters.

White House. set a goalIt is also aiming to achieve 50% Electric Vehicle Sales by 2030. construct a national network of EV charging stationsTo provide tax incentives to consumers who purchase EVs. Additionally, the administration pledged to replace its federal fleet of 600,000 cars and trucks to electric power by 2035.

The USA is the world’s third-largest market for EVs, behind China and Europe. According to Canalys, only 4% of all new American cars were made last year using electric motors.

U.S. Secretary Jennifer M. Granholm, stated Monday that “Positioning USA front and center in responding to the growing demand advanced batteries will how we boost competitiveness and electrify the transportation system”.