Three Key Facts:
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- With $125 million in funding from the U.S. Department of Energy and the State of Michigan, Mitra Chem is building a cutting-edge plant in Muskegon to produce lithium iron phosphate (LFP) used to make batteries and energy storage systems.
- The project will expand the domestic workforce, creating 154 permanent highly skilled labor jobs and bringing 625 construction jobs to the area during the building of the plant.
- The plant will be the only domestic facility to produce LFP, making it a key component of the national supply chain, strengthening our national security.
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Mitra Chem is building a state-of-the-art battery materials manufacturing facility in Muskegon, Michigan, thanks to $100 million in funding from the U.S. Department of Energy and $25 million from the State of Michigan. This plant will be the first in North America to mass produce lithium iron phosphate (LFP) cathodes, a key component in batteries and energy storage systems.
The production center also will create 154 permanent highly-skilled labor jobs and bring 625 construction jobs to the area during the building of the plant. Once operational, it will produce battery materials for over 300,000 next generation cars each year.
The battery plant is also a major step forward in shoring up our national security. Currently, 100% of LFP is produced outside the U.S., with 99% of it coming from China. Mitra Chem’s new site will help establish a reliable, domestic supply chain.
As part of the project, Mitra Chem is partnering with Sun Chemical, a company with 100 years of expertise in advanced particle engineering, manufacturing and production efficiency, regulatory permitting, and extensive U.S. manufacturing infrastructure. The two companies have already developed a working model of the material and are now improving the process to make it waste-free.
Mitra Chem CEO Vivas Kumar said in a statement, “By bringing advanced battery production to American soil we’re securing our energy future and positioning the U.S. at the forefront of the global electric vehicle revolution. The support from the DOE and Michigan, and our collaboration with Sun Chemical, will accelerate Mitra’s mission to revolutionize next generation battery production.”
Russell Schwartz, CTO of Sun Chemical, said the project “will demonstrate the power of American ingenuity and industrial might.”
The new facility “will establish the United States as the global leader for next generation battery materials,” according to the Department of Energy. “This initiative not only addresses the supply-demand gap but also promotes environmental sustainability, economic growth, and positions the U.S. as a leader in the global battery technology arena,” they said.
The company says it aims to nearly double the American LFP production capacity by 2027, with plans to double production again after that.
The project builds on existing expertise in the region according to Greater Muskegon Economic Development CEO Marla Schneider. “Battery cathode powder is one of the first stages in battery production, so it aligns really well with some other companies we have here and skillsets that can be built upon that are existing in our county.”
A spokesman for Mitra Chem told WOOD-TV that the company was “particularly attracted to Muskegon and the greater West Michigan community for its vibrant community and highly-skilled manufacturing workforce that will help make Michigan and the U.S. a leader in next-generation battery materials.”
The federal funding comes from the Biden-Harris infrastructure law as part of a program to deliver a durable and secure battery manufacturing supply chain. The funding from the State of Michigan comes from a matching grant program for advanced manufacturers and battery makers designed to attract federal funds to the state.