Illinois has been picked by a Chinese battery manufacturer to host the construction of a massive $2 billion plant that will start operating in 2019.
The Gotion High-Tech Co. Factory will generate 2,600 new employees and represent “the largest new manufacturing investment in Illinois in decades. Government subsidies of $536 million were given to the facility, which specializes in creating lithium-ion batteries, battery packs, and energy storage systems.
Given that legislation signed by President Joe Biden a little over a year ago offers generous tax breaks and grants for electric vehicle, battery, and clean-cutting projects, Illinois is attempting to position itself as a hub for cutting-edge technologies ranging from quantum computing to life sciences to electric vehicle manufacturing. Consequently, states compete to attract these sectors by providing incentives.
As part of the Illinois funding deal, the Chinese battery manufacturer will be eligible for $213 million in tax incentives over 30 years.