The US state of Michigan has recieved $1.36 billion dollars in government grants to develop hybrid car and hybrid truck energy solutions. According to an article in Free press, the money will be used to create up to 40,000 jobs, and will be used to enable companies to tool up for electric vehicle batteries and other car parts for electric vehicles.
Hybrid battery production is an area which is dominated by companies in South East Asia, so the companies that receive the grants will have a lot of work to do to reach the standards already reached by competitors. The biggest benefactor of the grants is Johnson Controls, who will make batteries for Ford hybrid and electric cars and trucks. About half of the money will be provided to companies in the form of tax credits, which will be payable upon meeting targets, ensuring that the money is not spent on other projects.
It remains to be seen whether the UK government will offer a similar stimulus package to car companies, although it is arguable that most British car plants are in foreign ownership, car parts manufacturers in the UK would certainly benefit from a similar stimulus. Article compiled by Find a Part - Car Parts Search Specialists since 1978.
