Michigan’s economic development board has approved $824 million in incentives and assistance for General Motors Co. to put electric vehicle and battery plants in its home state, adding as many as 4,000 jobs
LANSING, Mich. -- Michigan's economic development board on Tuesday approved $824 million in incentives and assistance for General Motors Co. to put electric vehicle and battery plants in its home state, adding as many as 4,000 jobs.
The Detroit-based automaker plans to spend up to $4 billion converting and expanding its Orion Township assembly factory to make electric pickup trucks and $1.5 billion to $2.5 billion building a third U.S. battery cell plant with a joint-venture partner in Lansing.
The package was unveiled and authorized by the Michigan Strategic Fund Board. It includes a $600 million grant to GM and Ultium Cells, the venture between the carmaker and LG Energy Solution, and a $158 million tax break for Ultium. The board also approved $66.1 million to help a local electric utility and township upgrade infrastructure at the battery factory site.
“The shift to electrification is truly revolutionary, and investment decisions being made now will have positive or detrimental impacts on regions for decades to come. The important of securing this investment to both the local and broader state economy cannot be overstated," state economic development officials wrote in a memo requesting the incentives. They are separate from locally approved incentives, including a special power rate for the battery plant and tax abatements.