www.thomasnet.com Open in urlscan Pro
2600:1f18:6743:fd05:a275:1caf:26e8:e0f6 Public Scan

Back to summary

URL:
https://www.thomasnet.com/insights/inflation-reduction-act-accelerates-market-for-critical-metals-in-ev-batteries/?ecms_id...
Submission: On January 10 via manual (January 10th 2023, 10:19:46 pm UTC) from US — Scanned from US

Form analysis
1 forms found in the DOM

<form class="site-search form-inline" data-page-type="insights-story" data-thcomponent="search-box">
  <div class="form-group">
    <div class="site-search__input-wrap">
      <div class="thm-custom-select search-options"><a href="#custom-select-toggle" class="custom-select-toggle search-options-toggle"><span>Insights</span></a>
        <div class="custom-select-menu" aria-labelledby="dropdownMenuButton">
          <a tabindex="0" class="custom-select-menu-item" href="#search-all" data-value="search-all">All</a><a tabindex="0" class="custom-select-menu-item" href="#search-suppliers" data-value="search-suppliers">Suppliers</a><a tabindex="0" class="custom-select-menu-item" href="#search-products-category" data-value="search-products-category">Products</a><a tabindex="0" class="custom-select-menu-item" href="#search-cad-category" data-value="search-cad-category">CAD Models</a><a tabindex="0" class="custom-select-menu-item" href="#search-diversity" data-value="search-diversity">Diverse Suppliers</a><a tabindex="0" class="custom-select-menu-item active" href="#search-insights" data-value="search-insights">Insights</a>
        </div>
      </div>
      <div class="site-search__search-query-input-wrap search-suggest-preview"><input maxlength="100" autocomplete="off" class="form-control form-control-lg search-query" placeholder="Articles and White Papers by Keyword" value=""></div>
      <div class="thm-custom-select search-options-regions d-none"><a href="#custom-select-toggle" class="custom-select-toggle search-options-toggle"><span>All Regions</span></a>
        <div class="custom-select-menu" aria-labelledby="dropdownMenuButton">
          <a tabindex="0" class="custom-select-menu-item active" href="#NA" data-value="NA">All Regions</a><a tabindex="0" class="custom-select-menu-item" href="#AL" data-value="AL">Alabama</a><a tabindex="0" class="custom-select-menu-item" href="#AK" data-value="AK">Alaska</a><a tabindex="0" class="custom-select-menu-item" href="#AB" data-value="AB">Alberta</a><a tabindex="0" class="custom-select-menu-item" href="#AZ" data-value="AZ">Arizona</a><a tabindex="0" class="custom-select-menu-item" href="#AR" data-value="AR">Arkansas</a><a tabindex="0" class="custom-select-menu-item" href="#BC" data-value="BC">British Columbia</a><a tabindex="0" class="custom-select-menu-item" href="#CN" data-value="CN">California - Northern</a><a tabindex="0" class="custom-select-menu-item" href="#CS" data-value="CS">California - Southern</a><a tabindex="0" class="custom-select-menu-item" href="#CO" data-value="CO">Colorado</a><a tabindex="0" class="custom-select-menu-item" href="#CT" data-value="CT">Connecticut</a><a tabindex="0" class="custom-select-menu-item" href="#DE" data-value="DE">Delaware</a><a tabindex="0" class="custom-select-menu-item" href="#DC" data-value="DC">District of Columbia</a><a tabindex="0" class="custom-select-menu-item" href="#FL" data-value="FL">Florida</a><a tabindex="0" class="custom-select-menu-item" href="#GA" data-value="GA">Georgia</a><a tabindex="0" class="custom-select-menu-item" href="#HI" data-value="HI">Hawaii</a><a tabindex="0" class="custom-select-menu-item" href="#ID" data-value="ID">Idaho</a><a tabindex="0" class="custom-select-menu-item" href="#IL" data-value="IL">Illinois</a><a tabindex="0" class="custom-select-menu-item" href="#IN" data-value="IN">Indiana</a><a tabindex="0" class="custom-select-menu-item" href="#IA" data-value="IA">Iowa</a><a tabindex="0" class="custom-select-menu-item" href="#KS" data-value="KS">Kansas</a><a tabindex="0" class="custom-select-menu-item" href="#KY" data-value="KY">Kentucky</a><a tabindex="0" class="custom-select-menu-item" href="#LA" data-value="LA">Louisiana</a><a tabindex="0" class="custom-select-menu-item" href="#ME" data-value="ME">Maine</a><a tabindex="0" class="custom-select-menu-item" href="#MB" data-value="MB">Manitoba</a><a tabindex="0" class="custom-select-menu-item" href="#MD" data-value="MD">Maryland</a><a tabindex="0" class="custom-select-menu-item" href="#EM" data-value="EM">Massachusetts - Eastern</a><a tabindex="0" class="custom-select-menu-item" href="#WM" data-value="WM">Massachusetts - Western</a><a tabindex="0" class="custom-select-menu-item" href="#MI" data-value="MI">Michigan</a><a tabindex="0" class="custom-select-menu-item" href="#MN" data-value="MN">Minnesota</a><a tabindex="0" class="custom-select-menu-item" href="#MS" data-value="MS">Mississippi</a><a tabindex="0" class="custom-select-menu-item" href="#MO" data-value="MO">Missouri</a><a tabindex="0" class="custom-select-menu-item" href="#MT" data-value="MT">Montana</a><a tabindex="0" class="custom-select-menu-item" href="#NE" data-value="NE">Nebraska</a><a tabindex="0" class="custom-select-menu-item" href="#NV" data-value="NV">Nevada</a><a tabindex="0" class="custom-select-menu-item" href="#NB" data-value="NB">New Brunswick</a><a tabindex="0" class="custom-select-menu-item" href="#NH" data-value="NH">New Hampshire</a><a tabindex="0" class="custom-select-menu-item" href="#JN" data-value="JN">New Jersey - Northern</a><a tabindex="0" class="custom-select-menu-item" href="#JS" data-value="JS">New Jersey - Southern</a><a tabindex="0" class="custom-select-menu-item" href="#NM" data-value="NM">New Mexico</a><a tabindex="0" class="custom-select-menu-item" href="#DN" data-value="DN">New York - Metro</a><a tabindex="0" class="custom-select-menu-item" href="#UN" data-value="UN">New York - Upstate</a><a tabindex="0" class="custom-select-menu-item" href="#NL" data-value="NL">Newfoundland &amp; Labrador</a><a tabindex="0" class="custom-select-menu-item" href="#NC" data-value="NC">North Carolina</a><a tabindex="0" class="custom-select-menu-item" href="#ND" data-value="ND">North Dakota</a><a tabindex="0" class="custom-select-menu-item" href="#NW" data-value="NW">Northwest Territories</a><a tabindex="0" class="custom-select-menu-item" href="#NS" data-value="NS">Nova Scotia</a><a tabindex="0" class="custom-select-menu-item" href="#NU" data-value="NU">Nunavut</a><a tabindex="0" class="custom-select-menu-item" href="#NO" data-value="NO">Ohio - Northern</a><a tabindex="0" class="custom-select-menu-item" href="#SO" data-value="SO">Ohio - Southern</a><a tabindex="0" class="custom-select-menu-item" href="#OK" data-value="OK">Oklahoma</a><a tabindex="0" class="custom-select-menu-item" href="#ON" data-value="ON">Ontario</a><a tabindex="0" class="custom-select-menu-item" href="#OR" data-value="OR">Oregon</a><a tabindex="0" class="custom-select-menu-item" href="#EP" data-value="EP">Pennsylvania - Eastern</a><a tabindex="0" class="custom-select-menu-item" href="#WP" data-value="WP">Pennsylvania - Western</a><a tabindex="0" class="custom-select-menu-item" href="#PE" data-value="PE">Prince Edward Island</a><a tabindex="0" class="custom-select-menu-item" href="#PR" data-value="PR">Puerto Rico</a><a tabindex="0" class="custom-select-menu-item" href="#QC" data-value="QC">Quebec</a><a tabindex="0" class="custom-select-menu-item" href="#RI" data-value="RI">Rhode Island</a><a tabindex="0" class="custom-select-menu-item" href="#SK" data-value="SK">Saskatchewan</a><a tabindex="0" class="custom-select-menu-item" href="#SC" data-value="SC">South Carolina</a><a tabindex="0" class="custom-select-menu-item" href="#SD" data-value="SD">South Dakota</a><a tabindex="0" class="custom-select-menu-item" href="#TN" data-value="TN">Tennessee</a><a tabindex="0" class="custom-select-menu-item" href="#NT" data-value="NT">Texas - North</a><a tabindex="0" class="custom-select-menu-item" href="#GT" data-value="GT">Texas - South</a><a tabindex="0" class="custom-select-menu-item" href="#UT" data-value="UT">Utah</a><a tabindex="0" class="custom-select-menu-item" href="#VT" data-value="VT">Vermont</a><a tabindex="0" class="custom-select-menu-item" href="#VI" data-value="VI">Virgin Islands</a><a tabindex="0" class="custom-select-menu-item" href="#VA" data-value="VA">Virginia</a><a tabindex="0" class="custom-select-menu-item" href="#WA" data-value="WA">Washington</a><a tabindex="0" class="custom-select-menu-item" href="#WV" data-value="WV">West Virginia</a><a tabindex="0" class="custom-select-menu-item" href="#WI" data-value="WI">Wisconsin</a><a tabindex="0" class="custom-select-menu-item" href="#WY" data-value="WY">Wyoming</a><a tabindex="0" class="custom-select-menu-item" href="#YT" data-value="YT">Yukon</a>
        </div>
      </div>
    </div><button type="button" class="btn btn-lg btn-primary search-execute icon" title="Search"><img src="https://cdn40.thomasnet.com/img40/ico-search.svg" alt="search"></button>
  </div>
</form>

Text Content

Connect and transact with thousands of top North American companies today

+
 * Find Suppliers
   * Supplier Discovery
   * Instant Quote
   * Product Catalogs
   * CAD Models
 * Find Buyers
   * Claim Your Company
   * Advertise
     * Thomasnet.com Programs
     * Display Advertising
     * Newsletter Advertising
     * Video Advertising Services
     * Claim Your Company
   * Marketing Services
     * Search Engine Optimization
     * Website Development Services
     * eCommerce & Product Data
     * Inbound Marketing for Manufacturers
     * Content Marketing Services
     * Lead Generation Services
     * For Marketing Agencies
     * Thomas WebTrax
   * Resources
     * Free eBook Library
     * Sourcing Activity Snapshots
     * Blog
     * Webinars
   * Digital Health Check
   * Buyer Intent Report
   * Contact
 * Industry Insights
   * Topics
     * Supply Chain
     * Engineering & Design
     * Sales & Marketing
     * Thomas Index
     * New Products
     * Manufacturing & Innovation
     * Industry Trends
     * Career & Workforce
     * Daily Bite
     * Company News
     * Technical Guides
   * White Papers
   * Submit Content
     * Contribute to Insights
     * Submit Press Release
   * Subscribe
   * Podcast

 * About
   * About Us
   * Careers
   * Press Room
   * Industry Awards
   * Help Center
   * Transparency in Coverage
 * Claim Your Company
   
   
 * Saved Suppliers 0
 * Login
 * Register Register
   

 
Industry Insights
 * Topics
   * Supply Chain
   * Engineering & Design
   * Sales & Marketing
   * Thomas Index
   * New Products
   * Manufacturing & Innovation
   * Industry Trends
   * Career & Workforce
   * Daily Bite
   * Company News
   * Technical Guides
 * White Papers
 * Submit Content
   * Contribute to Insights
   * Submit Press Release
 * Subscribe
 * Podcast

Insights
AllSuppliersProductsCAD ModelsDiverse SuppliersInsights

All Regions
All RegionsAlabamaAlaskaAlbertaArizonaArkansasBritish ColumbiaCalifornia -
NorthernCalifornia - SouthernColoradoConnecticutDelawareDistrict of
ColumbiaFloridaGeorgiaHawaiiIdahoIllinoisIndianaIowaKansasKentuckyLouisianaMaineManitobaMarylandMassachusetts
- EasternMassachusetts -
WesternMichiganMinnesotaMississippiMissouriMontanaNebraskaNevadaNew BrunswickNew
HampshireNew Jersey - NorthernNew Jersey - SouthernNew MexicoNew York - MetroNew
York - UpstateNewfoundland & LabradorNorth CarolinaNorth DakotaNorthwest
TerritoriesNova ScotiaNunavutOhio - NorthernOhio -
SouthernOklahomaOntarioOregonPennsylvania - EasternPennsylvania - WesternPrince
Edward IslandPuerto RicoQuebecRhode IslandSaskatchewanSouth CarolinaSouth
DakotaTennesseeTexas - NorthTexas - SouthUtahVermontVirgin
IslandsVirginiaWashingtonWest VirginiaWisconsinWyomingYukon


Business & Industry


INFLATION REDUCTION ACT ACCELERATES MARKET FOR CRITICAL METALS IN EV BATTERIES

Laura Ross Jan 10, 2023

SHARE:



Welcome to Thomas Insights — every day, we publish the latest news and analysis
to keep our readers up to date on what’s happening in industry. Sign up here to
get the day’s top stories delivered straight to your inbox.

The Inflation Reduction Act is expected to have a significant impact on the U.S.
EV market in the coming years, driving increased sales and, in turn, the demand
for components like batteries. While these circumstances present some clear
benefits to the industry, there are some challenges to consider.   

Below is an overview of the Inflation Reduction Act, including key legislation,
long-term goals, and primary beneficiaries, as well as how the act impacts the
EV battery market. 


WHAT IS THE INFLATION REDUCTION ACT?

On August 7, the Senate passed the Inflation Reduction Act, which is designed to
reduce living costs for American families while fighting inflation and reducing
the deficit. It will expand affordable healthcare coverage, cap the price of
insulin, and lower energy costs. 

It also makes historic investments to address the climate crisis, pledging to
reduce carbon pollution by 40% by 2030 and accelerate the transition to clean
energy. The $369 billion in climate and clean energy provisions is the largest
investment in combating climate change ever passed by Congress.

The Inflation Reduction Act is fiscally responsible and fully paid for. However,
rather than raising taxes on middle-income families and small businesses, it
ensures that largely profitable corporations and individuals pay their share of
taxes. For example, corporations that make a profit of at least $1 billion per
year will be issued a 15% minimum tax. 

Some industrial businesses will also be beneficiaries of the bill. Tax credits
will be awarded to those who make significant investments in green energy, such
as electrifying fleets. 

Meanwhile, investments in new manufacturing facilities and efforts to support
the production of technologies on home soil will strengthen domestic supply
chains, create millions of jobs, and boost American competitiveness. 


HOW WILL THE INFLATION REDUCTION ACT ACCELERATE THE MARKET FOR CRITICAL METALS
IN EV BATTERIES?

Legislation within the Inflation Reduction Act that is designed to accelerate
transportation electrification has large implications for the EV industry as a
whole. 

It includes an extension to the light-duty EV tax credit, which awards up to
$7,500 per vehicle at the point of sale through 2032. A cap that previously
limited tax credited sales-per-automaker to 200,000 has also been rescinded,
benefitting the likes of Tesla and General Motors. 

In addition, commercial EVs will be eligible for federal tax credits for the
first time. Specifically, $3 billion will go to the U.S. Postal Service to
electrify their fleet, and $1 billion will go to states, municipalities, Indian
tribes, or non-profit school transportation associations to replace class six
and seven heavy-duty vehicles with clean EVs. 

But there are some important stipulations in the legislation. 

For starters, the light-duty EV tax credit has an income cap, which means
customers won’t qualify if they earn more than $150,000. It is hoped this will
incentivize automakers to reduce the prices of EVs to reach a wider and more
diverse customer base. The total EV market share reached just 6% in October
2022, a long way from the 2030 goal of 50%. 

As of 2023, automakers must also source or process at least 40% of their EV
battery components in the U.S. or countries with which the U.S. has a free trade
agreement. That increases to 50% in 2024, 80% in 2027, and 100% by 2029. These
conditions, and an additional one that requires the final assembly of EVs to
take place in North America, will incentivize automakers to reshore supply
chains. 

This spells good news for the U.S. manufacturing industry. But can suppliers of
EV battery components keep up with a sudden surge in demand? 


MEETING THE DEMAND FOR EV BATTERY MATERIALS

EV batteries are composed of minerals like lithium, cobalt, manganese, nickel,
graphite, and, increasingly, copper, most of which are sourced and processed
overseas. Currently, the U.S. falls behind Europe and China in battery
manufacturing.

As the U.S. increases its competitiveness and reshores operations, there are
concerns that there needs to be more mines to keep up with increased demand. 

The copper supply chain faces especially significant challenges. By 2030, supply
from existing and projected global copper mining activities will meet just 80%
of our needs, driving prices up to record highs. 

Automakers want to capitalize on the tax credits laid out in the Inflation
Reduction Act, but the question is how EV battery makers can diversify supply
chains to accommodate it.


RECYCLING 

One answer lies in recycling. Some businesses are already in the process of
expanding their facilities to accommodate large-scale battery recycling
operations. Ascend Elements, for example, is opening its first commercial-scale
EV battery recycling facility in Georgia. Processing plants can be established
much more efficiently than new mines, so investments like this will fill
critical supply chain gaps in the short term. 

Devices such as laptops, cell phones, and electric bicycles can also be recycled
to provide some of the critical minerals needed for EV batteries. 


DOMESTIC FACILITIES 

Other U.S. businesses are establishing domestic copper production facilities in
anticipation of ongoing supply chain shortages. Denkai America, for
example, announced the details of a $430 million project to establish a new
North American headquarters last year. 


CHANGES TO EV BATTERIES 

A longer-term impact of the Inflation Reduction Act may be changes to EV battery
composition. This could reduce dependency on certain hard-to-get materials and
see increased use of domestically produced and processed materials. 

It certainly helps that the act qualifies Free Trade Agreement (FTA) countries
as sources of mineral supply. But, although this presents some alternate
opportunities for EV battery manufacturers, there are several key players with
which no FTA agreement exists. Argentina — a top-five global producer of lithium
— is one such example.

The Inflation Reduction Act will disrupt global supply chains and accelerate
domestic production in the months and years to come. 


MORE INSIGHTS 

 * How the Inflation Reduction Act Impacts Manufacturers
 * How Are EV Batteries Made?
 * CHIPS and Science Act to Unlock $52.7 Billion for U.S. Chip Manufacturing
 * Toyota to Invest $5.6 Billion in EV Batteries Following the Inflation
   Reduction Act
 * The Reasons Why Demand for Copper Is Growing
 * How Is the U.S. Competitive in Energy Options?

Image Credit: Shutterstock.com


Share

USPS Plans to Deploy 66,000 EVs, Making It One of the Largest Fleets in the
NationNext Story »


MORE FROM BUSINESS & INDUSTRY

Business & Industry


JUMP PROGRAM HELPS FORMERLY INCARCERATED INDIVIDUALS FIND MANUFACTURING JOBS

Business & Industry


AUTOMOTIVE TECH COMPANY EXPANSION TO CREATE 500 JOBS

Business & Industry


USPS PLANS TO DEPLOY 66,000 EVS, MAKING IT ONE OF THE LARGEST FLEETS IN THE
NATION

Business & Industry


CARHARTT INVESTS OVER $4 MILLION IN MICHIGAN HEADQUARTERS

Business & Industry


STUDY: THESE U.S. LOCATIONS ARE MOST LIKELY TO GET SEMICONDUCTOR PLANTS

Business & Industry


ILLINOIS MANUFACTURER ACQUIRES LEADING GEAR PUMP MAKER


TOP 5 STORIES THIS WEEK

 * Business & Industry
   
   
   BOEING PROPELS INTERNATIONAL FLIGHT CAPABILITIES WITH HISTORIC DREAMLINER
   ORDER

 * Business & Industry
   
   
   VIRGINIA METAL MANUFACTURER EXPANDS TO FORMER FURNITURE PLANT

 * Business & Industry
   
   
   IS A FULL-SCALE HYPERLOOP SYSTEM ON THE HORIZON?

 * Business & Industry
   
   
   THROWING IT BACK TO 1974: HYUNDAI TO REBUILD LOST PONY COUPE CONCEPT

 * Business & Industry
   
   
   BEYOND THE MOON: NASA'S SPACECRAFT REACHES RECORD-BREAKING DISTANCE FROM
   EARTH




RELATED RESOURCES

 * Daily Bite
   
   
   HOW DO LOCKS WORK?

 * Business & Industry
   
   
   JUMP PROGRAM HELPS FORMERLY INCARCERATED INDIVIDUALS FIND MANUFACTURING JOBS

 * Business & Industry
   
   
   AUTOMOTIVE TECH COMPANY EXPANSION TO CREATE 500 JOBS

 * Business & Industry
   
   
   USPS PLANS TO DEPLOY 66,000 EVS, MAKING IT ONE OF THE LARGEST FLEETS IN THE
   NATION

 * Business & Industry
   
   
   INFLATION REDUCTION ACT ACCELERATES MARKET FOR CRITICAL METALS IN EV
   BATTERIES





FIND SUPPLIERS, INSIGHTS, TOOLS AND MORE...


BECOME PART OF NORTH AMERICA'S LARGEST AND MOST ACTIVE NETWORK OF B2B BUYERS AND
INDUSTRIAL/COMMERCIAL SUPPLIERS.

Select From Over 500,000
Industrial Suppliers

Find and evaluate OEMs, Custom Manufacturers, Service Companies and
Distributors.

Receive Daily
Industry Updates

Stay up to date on industry news and trends, product announcements and the
latest innovations.

Search Over
6 Million Products

Find materials, components, equipment, MRO supplies and more.

Download 2D & 3D
CAD Models

10+ million models from leading OEMs, compatible with all major CAD software
systems.

Start Sourcing Suppliers Claim Your Company Profile ico-arrow-default-right


FIND SUPPLIERS

 * Supplier Discovery
 * Product Catalogs
 * CAD
 * Diversity
 * Instant Quotes
 * Buyer & Engineer Reviews


INDUSTRY INSIGHTS

 * Topics
 * Thomas Index (TMX)
 * Daily Bite
 * Guides
 * White Papers
 * Certification Glossary
 * Subscribe
 * Industry Update Podcast


FOR BUSINESS

 * Advertise
 * Content & Data Services
 * Marketing Services
 * Thomasnet Reviews
 * Claim Your Company Profile
 * Thomas WebTrax
 * Events & Webinars


SITE MAPS

 * Categories
 * Featured Companies
 * Featured Categories
 * Featured Products
 * Featured Catalogs


ABOUT

 * Thomas Brand Center
 * Careers
 * Press Room
 * Sign Up
 * Sign In
 * Contact
 * Help Center



Copyright© 2023 Thomas Publishing Company. All Rights Reserved. See Terms and
Conditions, Privacy Statement and California Do Not Track Notice. Website Last
Modified January 10, 2023.
Thomas Register® and Thomas Regional® are part of Thomasnet.com. Thomasnet Is A
Registered Trademark Of Thomas Publishing Company.

Thomas uses cookies to ensure that we give you the best experience on our
website. By using this site, you agree to our Privacy Statement and our Terms of
Use.
ico-close


REGISTER OR SIGN-IN TO CONTINUE

×

ico-supplier 500,000+ Detailed Supplier Profiles
ico-white-paper-case-study 300,000+ Articles & Whitepapers
ico-product 6 Million+ Industrial Products
ico-cad 10 Million+ 2D & 3D CAD Drawings
Close

www.thomasnet.com Open in urlscan Pro 2600:1f18:6743:fd05:a275:1caf:26e8:e0f6 Public Scan

Form analysis 1 forms found in the DOM

Text Content

www.thomasnet.com Open in urlscan Pro
2600:1f18:6743:fd05:a275:1caf:26e8:e0f6 Public Scan

Form analysis
1 forms found in the DOM