--This article originally appeared on April 16, 2009
Two lithium ion battery manufacturers with offices in Metro Detroit plan to build two advanced automotive battery factories in Michigan. Exact locations are still unknown, but LG Chem-Compact Power and A123Systems have traditionally invested in Southeast Michigan.
These represent two out of the four lithium ion battery plants that are planned to be built in Michigan, providing $1.7 billion in investment and creating 6,683 new jobs. Johnson Controls-Saft Advanced Power Solutions and KD Advanced Battery Group are the other two firms that plan to build these plants here.
Compact Power, a subsidiary of Korean-based LG Chem, already has a growing office in Troy that houses 70 employees. It plans to invest $200
million in the new factory, which will employ more than 300 people. The
company received a state tax credit valued at $25.2 million over 15
years and a battery cell state tax credit valued at $100 million over
four years.
A123Systems will invest more than $600 million to create a plant that specializes in initial coating, cell manufacturing and pack assembly for the lithium ion batteries. More than 5,000 new jobs will be created. The state will give the company a high-tech state tax credit of $25.2 million over 15 years and a battery cell state tax credit of $100 million over four years. A123Systems also has a growing office in Ann Arbor and plans to build a factory in Novi.
Source: State of Michigan
Writer: Jon Zemke
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