Mississippi Gov. Tate Reeves is asking lawmakers for $350 million in incentives for a planned plant in Marshall County that would make electric vehicle batteries and employ about 2,000 people.
The Republican governor on Tuesday declined to name the company that plans to spend $1.9 billion to build the north Mississippi facility. This is the second largest business investment in state history.
Reeves, who recently began his second term as governor, said the average salary for workers at the proposed plant will be about $66,000 a year.
Gov. Reeves takes oath for second term after overwhelming election victory in deep-red Mississippi
“This is a huge win for the state,” he said at a news conference in Jackson.
Production of EV batteries in the United States is accelerating as automakers shift to electric vehicles. The Inflation Control Act provides a $7,500 tax credit to consumers who purchase EVs, but only if the vehicle and battery are assembled in North America and contain minerals mined or processed domestically. It will be done.
Republican Mississippi Governor Tate Reeves delivers his second inaugural address at the State Capitol in Jackson, Mississippi, on Tuesday, January 9, 2024. (AP Photo/Rogelio V. Solis)
Reeves called a special session Thursday for lawmakers to consider incentives for Mississippi factories. Citing a non-disclosure agreement, the governor said he would not release the names of the companies behind it until after the special session.
House Ways and Means Committee Chairman Trey Lamar (R-Senatobia) told The Associated Press that the state's policy includes funding for site development at the Chickasaw Trails Industrial Park.
If this factory is built, many similar facilities will be built across the country.
Ford is building EV battery factories in Kentucky and Tennessee through a joint venture with South Korea's battery partner SK On. Georgia offers favorable tax incentives in its bid to become the southern EV manufacturing hub, and Hyundai is building its first U.S. factory dedicated to EV production at a site near Savannah.
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ExxonMobil announced in November that it would drill for lithium in southern Arkansas, and the oil giant plans to begin producing the key material for electric vehicles by 2027.
