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Trump administration invests billions in battery tech despite anti-EV stance

The Trump administration is allocating billions to U.S. battery production, deeming it critical for AI, drones and national security, even as the president opposes electric cars and wind power.

President Donald Trump, known for dismissing electric cars and wind power, is overseeing a major federal investment in battery technology to secure supply chains and support defense and AI applications. The Energy Department recently awarded $500 million to seven companies that produce battery components or process critical minerals such as cobalt, while the Pentagon announced a $1.4 billion loan to a Washington-state startup developing advanced lithium-ion cells.

Officials argue that batteries are essential for data-center resilience, military drones and other high-tech systems, and they are seeking to lessen dependence on China’s dominant role in lithium, graphite and cathode production. The administration has also pledged over $2 billion for domestic mining and critical mineral projects, including a loan to Sila Nanotechnologies, which can currently supply less than 0.1 % of global demand.

Experts warn that without a strong electric-vehicle market, the United States may struggle to create a full-scale battery supply chain. The move reflects a bipartisan shift toward viewing batteries as a strategic asset despite broader rollbacks of clean-energy initiatives.

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