The DOE Reverses Decision on Chinese-Owned Battery Manufacturer
The U.S. Department of Energy (DOE) has reversed its decision to allow Microvast Holdings, a Texas subsidiary of a Chinese-owned battery manufacturer, to apply for grants under the 2021 Bipartisan Infrastructure Law (BIL). The DOE’s decision came after the company’s links to the Chinese Communist Party were revealed during the department’s own vetting process. House Energy and Commerce Committee Chair Cathy McMorris Rodgers (R-Wash.) has invited the DOE to a panel meeting to discuss the issue, but the department has refused to participate.
A Saga Ends, but Questions Linger
The Microvast saga began last year when the company was qualified to apply for grants following the adoption of the $1.2 trillion BIL. The DOE announced that Microvast was among 20 companies selected to apply for a $200 million grant to manufacture lithium batteries at a plant it wants to build in Tennessee. However, the company’s filings with the Securities and Exchange Commission (SEC) revealed troubling connections to the communist Chinese government, sparking alarm and criticism from congressional Republicans.
The DOE’s vetting process has been questioned by the Senate Energy and Natural Resources Committee.
Microvast Holdings has links to the Chinese Communist Party.
The DOE has reversed its decision to allow Microvast to apply for grants under the 2021 BIL.
The DOE maintains a rigorous review process prior to the release of any awarded funds, and it is not uncommon for entities selected to participate in award negotiations under a DOE competitive funding opportunity to not ultimately receive an award. Microvast was never approved to actually receive a grant, only to begin preliminary negotiations to apply for one. The DOE is continuously improving its competitive bid process to ensure that civil servants have a geo-strategic perspective of what they are trying to do.
Now loading...