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ONE to invest $1.6B in 20 GWh Michigan gigafactory; LFP cell production in 2024

Our Next Energy (ONE), a Michigan-based energy storage technology company focusing on lithium iron phosphate chemistries (earlier post), will invest $1.6 billion in a new battery cell manufacturing plant, called ONE Circle, in Van Buren Township, Michigan. The gigafactory is expected to create 2,112 new jobs when operating at its full annual capacity of 20 GWh by the end of 2027, equivalent to 200,000 electric vehicle battery packs annually.

ONE said its investment, which is supported by a $215-million state grant, marks the beginning of a trend away from NCM-based cell factories; ONE’s Michigan factory will be first in developing North American material supply chains to commercialize LFP technologies that do not sacrifice EV range.

ONE’s inclusive workforce development program will begin in 2024. The company will partner with Detroit-based Focus: HOPE and Walker-Miller Energy Services to help transition Michigan’s automotive workforce with emphasis on equitable economic development.

By 2028, ONE Circle will drive down carbon emissions by 45% by onshoring its supply chain and integrating materials refinement with its Massachusetts-based partner 6K Energy into its manufacturing processes, while leveraging renewable energy for 50% of its power needs.

ONE is also partnering with a well-known North American battery recycler to be able to bring recycled materials back into its LFP and Anode-Free cells. This more sustainable approach to cell manufacturing is further supported by ONE’s partnership with DTE Energy to operate a grid-tied factory with utility-scale energy storage.

ONE Circle will act as a giant battery in its Gigafactory-to-Grid model to help stabilize the local power grid and provide renewable energy to the surrounding community in partnership with DTE Energy.

ONE conducted a competitive site selection process, evaluating 12 states and a Canadian province, but ultimately selected Michigan because of the commitment of the State and utility partners to making Michigan a key part of the electric vehicle future.

ONE will take possession of the newly constructed facility in January 2023 and begin upgrades and equipment installation. ONE Circle is being leased from Ashley Capital and is located at 42060 Ecorse Road in the Crossroads Distribution Center, in Van Buren Township, Michigan.


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