The US Department of Energy (DOE) announced $1.7 billion to support the conversion of shuttered or at-risk auto manufacturing and assembly facilities across eight states—Michigan, Ohio, Pennsylvania, Georgia, Illinois, Indiana, Maryland, and Virginia—to manufacture electric vehicles and their supply chain.

The Domestic Manufacturing Auto Conversion Grants program selectees will negotiate for awards to enable them to manufacture products covering a broad range of the automotive supply chain, including parts for electric motorcycles and school buses, hybrid powertrains, heavy-duty commercial truck batteries, and electric SUVs.

Awards include:

• General Motors, $500,000,000. General Motors LLC (GM) proposes to convert its Lansing Grand River Assembly Plant (LGR), located in Lansing, MI, from producing internal combustion engine (ICE) vehicles to producing efficient electric vehicles (EVs). Constructed in 1999, LGR began assembling ICE vehicles in 2001. Refurbishment and retooling of the facility will allow GM to produce new electrified models and enable the facility to be considered for future EV programs.

  GM production lines will further support and benefit from important investments in a US battery supply chain, accelerating commercialization of advanced, affordable EVs. In addition to battery investments, GM intends to continue utilizing its existing supply chain partners for commonalities and will continue to leverage GM’s scale to invest in a robust North American supply chain.

• Fiat-Chrysler Automotive, $334,763,050. Fiat Chrysler Automobiles (FCA) US will convert the idled Belvidere Assembly Plant (BVAP) to a Vehicle Assembly Complex for Electrification (the Project). This ambitious undertaking intends to restore operations at BVAP and transition its operations from producing traditional internal combustion engines (ICE) vehicles to assembling electric vehicles (EVs). This shift aligns with FCA's commitment to spearhead the automotive industry's electrification revolution.

• Fiat-Chrysler Automotive, $249,999,999. Fiat-Chrysler Automobiles (FCA) US proposes to convert the Indiana Transmission Plant (ITP) to initiate production of Electric Drive Modules (EDMs) to increase e-motor capabilities for incorporation into electric vehicles (EVs). This project will transition the plant's manufacturing processes from internal combustion engine (ICE) technologies to electrified alternatives. By making these strategic changes, FCA US LLC intends to significantly further the adoption and advancement of EV technologies in the US automotive industry.

• Volvo Technology of America, $208,224,054. The proposed project will upgrade/re-equip three (3) Volvo Group manufacturing facilities that supply and build all Mack and Volvo branded HD trucks for North America located in Macungie, PA; Dublin, VA; and Hagerstown, MD. The upgrades enable a novel manufacturing approach that will significantly increase the production capacity potential of battery electric vehicles (BEV)/fuel cell electric vehicles (FCEV). The upgrades will make BEV and FCEV trucks more efficient to produce and thus more cost-effective for the marketplace. These upgrades, among other factors, will enable increasing from two (2) BEV Class 8 truck models to a significantly increased production capacity and a complete Class 8 BEV/FCEV truck model line including updated BEV versions (with increased efficiency and range).

• ZF North America, $157,714,011. This funding is intended to help ZF Axle Drives Marysville LLC, a subsidiary of ZF North America, Inc., a global technology company supplying advanced mobility products and systems, fund a project to convert a portion of its Marysville, MI facility from internal combustion engine (ICE) driveline component production to electric vehicle components to meet potential future customer orders. Through this project, ZF would provide critical componentry to electrify light-, medium-, and heavy-duty vehicles, which will strengthen the American EV supply chain.

• Harley Davidson, $89,000,000. Harley-Davidson will expand its 650,000 sq. ft. facility in York, Pennsylvania for EV motorcycle manufacturing by incorporating new paint and assembly equipment, retaining and re-training its more than 1,300 union workforce and hiring more than 125 workers.

• Blue Bird Body, $79,728,146. Blue Bird Body Company intends to convert a prior Internal Combustion Engine (ICE) vehicle manufacturing location to a new 600,000 sq. ft. manufacturing facility for the production of zero-emission electric school buses while focusing on the education and training of its current and future workforce.

• Cummins Electrified Power, $75,000,000. For this project, Cummins will invest $75 million in cost share towards a total of $150 million to convert approximately 360,000 sq. ft. of an existing manufacturing facility in Columbus, IN, the Columbus Engine Plant (CEP), to house manufacturing for zero-emissions components and electric powertrain systems.

• American Autoparts, $32,617,879. American Autoparts, Inc., a subsidiary of Hyundai Mobis Co., Ltd., has launched a project to bring electric vehicle manufacturing and jobs to Toledo, OH, with total investments expected to be $65 million. The Project consists of two phases where American Autoparts will: (1) convert its existing ICE complete chassis assembly plant located at the Stellantis Toledo Assembly Complex, into a PHEV and ICE complete chassis assembly plant, retaining 354 UAW union jobs and creating an estimated 38 new union labor jobs supporting the manufacture of a new light PHEV truck, and (2) construct a new battery system assembly plant located at the new 285,000 square-foot spec building at the Toledo Trade Centre Industrial Park, the former site of the North Town Square Mall, creating 185 new jobs and manufacturing battery packs for PHEV SUVs, PHEV light trucks and PHEV minivans. While the facility is not in operation yet, it is anticipated these workers could be represented by the UAW.

The award selections are subject to negotiations to ensure that commitments to workers and communities are met. DOE will also complete environmental reviews to ensure that the awards are consistent with the Administration’s commitments to clean, environmentally responsible manufacturing, and include appropriate mitigation as needed.

The Domestic Auto Manufacturing Conversion Grants program, funded by the Inflation Reduction Act, invests in the domestic production of efficient hybrid, plug-in electric hybrid, plug-in electric drive, and hydrogen fuel cell electric vehicles. This program aims to expand manufacturing of light-, medium-, and heavy-duty electrified vehicles and components and support commercial facilities including those for vehicle assembly, component assembly, and related vehicle part manufacturing.

Selection for award negotiations is not a commitment by DOE to issue an award or provide funding. Before funding is issued, DOE and the applicants will undergo a negotiation process, and DOE may cancel negotiations and rescind the selection for any reason during that time.

The funding for the Domestic Auto Manufacturing Conversion Grants will be administered by DOE’s Office of Manufacturing and Energy Supply Chains (MESC).