U.S. Department of Energy Awards $375 Million to Expand Domestic Lithium Battery Recycling

WASHINGTON, DC — The United States Department of Energy (DOE) announced $375 million in direct manufacturing grant awards through the Bipartisan Infrastructure Law, funding the construction and expansion of six commercial-scale electric vehicle (EV) battery recycling facilities across five states.

Securing Critical Domestic Minerals for the Clean Energy Transition

The funding packages provide capital grants to clean tech material processors—including Redwood Materials and Ascend Elements—to construct advanced hydrometallurgical processing facilities capable of recycling 100,000 metric tons of end-of-life battery packs annually in Nevada, Kentucky, Georgia, and Ohio. The domestic recycling facilities recover 95% of battery-grade lithium carbonate, nickel sulfate, and cobalt, directly reducing reliance on foreign mineral supply chains while lowering battery production emissions by 60%.

Energy Secretary Jennifer Granholm stated that building a closed-loop American battery supply chain creates high-paying clean tech manufacturing jobs and protects national energy independence.

Automotive Manufacturers and Environmental Groups Endorse

Major automakers including Ford and General Motors praised the recycling grants, noting that recycled minerals qualify for Inflation Reduction Act domestic sourcing consumer tax credits.

Environmental scientists praised the closed-loop circular economy benefits of reducing open-pit mineral mining.

Facility Commissioning Schedule

Grant-funded commercial recycling processing lines will commence equipment commissioning in mid-2027.