July 13, 2022
An aggressive move toward vehicle electrification has spurred a public-private partnership that promises more cars, chargers, and jobs.
The White House recently announced more than $700 million in investments from the private sector—including funds from NEMA members Siemens, ABB, and ChargePoint, Inc. This new investment should increase America’s ability to produce more than 250,000 new electric vehicle (EV) chargers each year. The investment also promises to “add at least 2,000 good-paying jobs and make EV charging more affordable, accessible, and equitable,” the Administration said.
President Biden set a target for 50 percent of new vehicles sold in 2030 to be electric and activated the federal government’s purchasing power to procure more zero-emission vehicles by 2027 and 100 percent zero-emission vehicles by 2035. Congress passed the Bipartisan Infrastructure Law to build a national network of chargers for a seamless charging experience, and the President signed it into law last November.
The U.S. charging infrastructure has been falling behind in supporting such growth. New challenges emerged for distribution grid operators, fleets, gas stations, and other charging infrastructure operators. Some of the main reasons consumers cite for not purchasing EVs has been concern about running out of a charge on the road due to the lack of charging infrastructure.
Despite Americans’ fast adoption of all-electric vehicles—400,000 of them were sold in 2021, up from barely 10,000 in 2012—the country has only 6,000 DC fast electric charging stations and about 48,000 charging stations altogether, according to MIT Technology Review. Comparatively, there are roughly 150,000 fuel stations.
“NEMA’s EV charging manufacturers will play an integral role in modernizing the nation’s transportation infrastructure, and we share the goal of fostering and strengthening our domestic manufacturing and supply chain capabilities for EV charging equipment,” NEMA CEO Debra Phillips said. “Unlocking opportunities for American businesses and workers through increased transportation electrification will enhance the quality of life for all Americans, grow our economy, protect the environment, and serve the nation’s long-term interests.
“NEMA members have a keen understanding of the ways federal policy can help drive investments in new markets and expand existing ones. We are committed to sharing our perspective with the Administration to foster responsible right-shoring and other policies affecting the EV charging equipment sector.”
NEMA Members Mentioned in White House Announcement
- Siemens is on track to build one million EV chargers over the next four years by investing more than $250 million in the US in the past six months, including expansions of its Grand Prairie, TX and Pomona, CA manufacturing sites. Siemens has created 500 new, good-quality, union manufacturing jobs across the US to support critical power and EV charging infrastructure. And, they announced a $25 million minority stake investment in a US-based wireless charging company. Siemens has a new manufacturing facility coming online later this year and is introducing a new Buy America-compliant AC charger this fall.
- ABB E-mobility is adding 125 jobs to its operations this year alone, including at two new facilities. In Sugarland, Texas, they are opening a training center where ABB will provide authorized service partners with hands on training for servicing and maintaining EV chargers. In Southern California, ABB E-mobility is opening a product development and research facility where it will design, develop, and test EV chargers for the U.S. market.
- ChargePoint, a leading EV charging network, is expanding its partnership with SMTC Corporation to expand DCFC production, establish a manufacturing line for Level 2 chargers at their Milpitas, CA, facility, and create approximately 250 new manufacturing jobs. The expanded facility will be able to produce 10,000 DCFC dispensers and 10,000 Level 2 chargers by 2026. ChargePoint also recently partnered with the National Electrical Contractors Association (NECA) to prepare its nearly 4,000-member companies, all of which are IBEW unionized, to install EV charging infrastructure quickly and professionally in advance of the release of NEVI funding to States.
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