EnerSys Wins $199M DOE Grant for $615M Lithium-Ion Gigafactory in Greenville

September 24, 2024

EnerSys, a global leader in stored energy solutions, has been awarded $199 million in funding from the U.S. Department of Energy (DOE) to support the construction of a lithium-ion cell production facility in Greenville, South Carolina. The funding is part of the DOE’s $62 billion Bipartisan Infrastructure Law (BIL) Battery Materials Processing and Battery Manufacturing Grants, aimed at expanding the U.S. battery manufacturing sector and enhancing domestic processing capabilities.

EnerSys plans to invest approximately $615 million to build and commission the state-of-the-art gigafactory over the next four years. In addition, the company will allocate around $50 million to construct a specialized production line for the U.S. Department of Defense (DOD). The project is expected to create up to 500 high-quality jobs and will have an initial production capacity of five gigawatt hours (GWh) per year.

EnerSys President and CEO David M. Shaffer emphasized that the factory will play a vital role in strengthening the U.S. supply chain for advanced battery systems. The gigafactory will manufacture lithium-ion cells for a wide range of applications, including electric forklifts, communications networks, and defense systems. The project also supports the company’s long-term growth and promises a strong return on investment.

The new facility will be developed with support from a $200 million incentive package from South Carolina and Greenville County, alongside tax benefits from the Inflation Reduction Act (IRA). EnerSys plans to begin construction in 2025, with commercial operations slated for 2028.

EnerSys is also collaborating with Verkor SAS, a European leader in battery technology, to incorporate advanced electrode manufacturing and high-speed cell production into the gigafactory's operations.

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