Wednesday, December 11, 2024
Electric VehiclesLatestNewsUncategorized

USA urged to build EV industry for security

Business and military leaders have called on the US government to build up its EV supply chain and overall industry to end reliance on China.

According to a new report by the Securing America’s Future Energy (SAFE) pressure group, a cross-party response is needed for the United States to compete with China’s ownership of the next generation of transportation.

The study, called The Commanding Heights Of Global Transportation, outlines how government policies are prioritising lower carbon economies across the world alongside manufacturers multi-billion pound investment into non-petroleum and diesel fuels, including the Chinese government. This includes the Made in China 2025 strategy, which seeks to gain greater global authority and reap the significant economic rewards.

The report states that 70% of global electric vehicle battery manufacturing capacity is controlled by China with north America having only 10% of the market.

This control by China includes 70% of lithium supply, 61% of cathodes, and 83% of anodes used in batteries as well as 80% of rare earth supply need for EVs. Additionally, China produces 75% of permanent magnets for rare earths used for EV motors and 107 of the 142 megafactories for lithium-ion batteries are located in China.

The report calls for the USA to accelerate the transition by building up infrastructure, funding, recycling policy for EV batteries and other technology innovations to compete on a global scale.

Recycling policies for EV batteries to create a closed loop resource supply chain.

SAFE President Robbie Diamond said: “The 21st century will be defined by the relationship between the United States and China, and the strategic and economic promises of transportation technologies, including EVs and AVs, are already at its centre.

“To truly compete against China’s ownership of these critical supply chains and new technology, we need to rehabilitate and transform our entire industrial ecosystem from minerals to markets. We must build a robust mining, processing, and battery manufacturing base, as we make the U.S. a leading market to drive demand and this supply chain.”

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