The Export-Import Bank of the United States (EXIM) Approves a direct loan in the amount of $50,8 million to fund Electrovaya’s Jamestown Lithium-Ion Battery Expansion
JAMESTOWN, NY / ACCESSWIRE / November 14, 2024 / Electrovaya Inc. (“Electrovaya” or the “Company”) (NASDAQ:ELVA)(TSX:ELVA), a leading lithium-ion battery technology and manufacturing company, is pleased to announce that it has secured a direct loan in the amount of US$50.8 million from the Export-Import Bank of the United States (“EXIM”) under the bank’s ‘Make More in America’ initiative.
This financing will fund Electrovaya’s battery manufacturing buildout in Jamestown, New York including equipment, engineering and setup costs for the facility. Electrovaya has rapidly increasing demand for its products from a wide range of heavy duty and mission critical electrified applications, and it has been a priority of the Company to expand its manufacturing operations in the United States for these vital products. The Company’s manufacturing facility in Jamestown is scheduled to produce Electrovaya’s proprietary Infinity lithium-ion ceramic cells, which offer industry leading longevity and safety.
Dr. Raj DasGupta, CEO of Electrovaya, said :
The funding from EXIM is instrumental to Electrovaya’s long term strategy to expand capacity and establish lithium-ion cell production in the United States,
“Our facility in Jamestown will be powered by clean renewable energy and will produce the longest lasting and safest lithium-ion cells in the world when it starts commercial shipments in early 2026. We expect this expansion to support our plans for exponential growth and lead to improvements in our margins through vertical integration. Finally, I fully expect that the establishment of this manufacturing facility will also lead to an uptick in demand for our products since we will produce these exciting products domestically.”
EXIM President and Chair Reta Jo Lewis, said :
With today’s transaction, we are underscoring EXIM’s commitment to the expansion of domestic exports and the rebuilding of a resilient stateside supply chain.
“Ushering through our fifth Make More in America deal further highlights EXIM’s efforts to support U.S. manufacturing in transformational export areas while creating jobs and increasing export competitiveness across the global landscape.”
Established in 2022 in response to President Biden’s Executive Order on America’s Supply Chains, the Make More in America initiative is designed to spur domestic manufacturing and reinforce America’s supply chains. By leveraging its existing financing capabilities, with financing priority available to environmentally beneficial projects, small businesses and transformational export areas, EXIM is working to help level the playing field for American companies competing in overseas markets, especially those with export-oriented domestic manufacturing nexuses.
The battery manufacturing facility in Jamestown is expected to lead to over 250 jobs and support Electrovaya’s exports to Japan, Canada and Australia. Furthermore, the facility will both benefit from and help support developing supply chains in the US for lithium-ion battery production. The Jamestown expansion will also benefit from the IRA 45X production tax credits as well as grants and tax incentives from the state of New York, which the Company will be able to access as the facility scales in output.
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The Export-Import Bank of the United States (EXIM) Approves a direct loan in the amount of $50,8 million to fund Electrovaya’s Jamestown Lithium-Ion Battery Expansion, source
