North Carolina Applied Materials Battery Plant

Applied Materials Inc. is opening yet another battery manufacturing plant in North Carolina, where it will more than match a grant provided by the federal government.

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A battery plant construction site is seen in Kokomo, Indiana, on October 27, 2022 (Getty/Kent Nishimura)
  • Project name: Applied Materials Battery Plant

  • Program: Battery Materials Processing and Battery Manufacturing

  • Law: Infrastructure Investment and Jobs Act

  • Recipient: Applied Materials Inc.

  • Investment amount: $100,000,000 (federal cost share); $124,010,435 (recipient cost share)

  • City: TBD

  • State: North Carolina

  • Congressional districts: TBD until site is finalized; likely 4, 6, and 9

  • Construction start date: TBD

  • Jobs created: Approximately 90 full-time employees and approximately 350 to 400 contingent workers

This profile is part of a project that finds and tracks the public and private sector investments generated or supported by three of the Biden administration’s economic laws. These laws make investments in the American people, helping to grow the middle class, lowering the cost of living, and setting up America to better compete and cooperate in the world. Pulling directly from several sources, this catalog provides users with publicly available information such as the number of jobs created, workforce training partnerships, and storytellers benefiting from particular projects, among other detailed information. The profile below expands on the economic, practical, and climate impacts of just one of the 35,000 investments that can be found in the Biden Administration Investment Tracker. It may be updated to account for future project developments.

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Historical context

The geographic context is unclear—the exact location of the plant site is not yet known.

Battery production and China:

  • “The future of vehicles is electric, but the battery is a key part of that electric vehicle. And right now … 75 percent of that battery manufacturing is done in China.” – The White House, October 19, 2022
  • “For some battery components, critical materials, China controls nearly half the global production.” – The White House, October 19, 2022
  • “With more electric vehicle sales, the demand for batteries and the critical minerals that go into those batteries has grown and is going to continue to grow.” – The White House, October 19, 2022

Project summary

Applied Materials is planning a $224 million plant after receiving a $100 million Infrastructure Investment and Jobs Act grant that would create 90 new jobs:

  • “Applied Materials Inc., a global manufacturer based in Santa Clara, Calif., has been awarded a $100 million federal grant that’s contingent on the manufacturer spending an additional $124 million in capital investment — typically buildings, machinery or land. … Analysts say the plant is likely being built to supply the Toyota North Carolina electric vehicle plant at the Greensboro-Randolph megasite in Liberty.” – Winston-Salem Journal, October 24, 2022
  • “Applied Materials, Inc. intends to set up an advanced prelithiation and lithium anode manufacturing facility to accelerate the transition to next-generation lithium-ion (Li-ion) batteries and enable the development of a robust U.S. battery component supply chain.” – U.S. Department of Energy, October 19, 2022
  • “The proposed facility will support industrial-scale production of advanced lithiated anodes for multiple battery cell makers and automobile manufacturers. Nameplate production capacity of the factory would be >5GWh (gigawatt-hour) to meet customer demand.” – U.S. Department of Energy, October 19, 2022
  • “Applied has been identified for a manufacturing facility site in the central part of North Carolina near the Virginia border.” – Winston-Salem Journal, October 24, 2022
  • “Applied already is receiving funding from the Energy Department and the U.S. Advanced Battery Consortium toward the development of advanced battery systems.” – Winston-Salem Journal, October 24, 2022

Outcomes, improvements, and practical impact

  • “Applied Materials transforms its values into location-based action through equity-centered community engagement efforts. As at its other U.S. locations, the company’s presence will create quality employment opportunities and benefit the local community (e.g., education, food banks).” – U.S. Department of Energy, October 19, 2022
  • The plant will be critical for the battery supply chain.– U.S. Department of Energy, October 19, 2022

Climate impact

  • “Applied Materials, together with its partners, suppliers, and customers, will work to establish U.S. leadership in battery technology, manufacturing, and supply chain for electrification of automotive drivetrains and renewable power energy storage.” – U.S. Department of Energy, October 19, 2022

Economic impact

  • “Applied Materials anticipates hiring ~90 full-time employees and ~350-400 contingent workers including construction-related jobs.” – U.S. Department of Energy, October 19, 2022
  • The new plant will create potential jobs for rural workers. – Winston-Salem Journal, October 24, 2022

Official supporting statements

  • North Carolina State University Economics Professor Michael Walden: “The Applied project represents how the Triad and Triangle ‘appear poised to take advantage of both private and public sector initiatives to expand the country’s investments in technology related to moving toward an electric powered transportation system. This could be a game-changer for the state economy that could add thousands of middle-paying jobs for workers not attaining a four-year college education. Along the Triangle to Triad corridor, it could make those jobs available to rural workers able to make a short daily commute.’” – Winston-Salem Journal, October 24, 2022
  • President Joe Biden: “And that’s why today I’m proud to announce $2.8 billion in awards to 20 companies represented on the screen across 12 states, funded by the Infrastructure Law, to build electric vehicles and a battery future here in America. … Together, these 20 companies are going to build new commercial-scale battery production and processing facilities all across America. They’re going to develop lithium to supply over 2 million vehicles every year. And that $2.8 billion investment is going to unlock billions of dollars in private investment from these companies.” – The White House, October 19, 2022

Selected clips

  • “Triad could get 90 new jobs tied to demand for advanced batteries. Manufacturer plans $224 million plant.” – Winston-Salem Journal, October 24, 2022
  • “With federal help, new-technology battery maker considering Triad for production site” – Triad Business Journal, October 26, 2022

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