Energy Department announces $500 million for domestic critical materials processing and manufacturing

Chris Wright, Secretary of Energy
Chris Wright, Secretary of Energy
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The U.S. Department of Energy announced on Mar. 13 a Notice of Funding Opportunity for up to $500 million to expand domestic processing, manufacturing, and recycling of critical minerals and battery materials.

This funding aims to strengthen the United States’ supply chain for batteries used in defense, grid resilience, transportation, manufacturing, and other industries. The initiative is part of ongoing efforts to reduce reliance on foreign sources for essential materials needed in advanced technologies.

U.S. Energy Secretary Chris Wright said, “For too long, the United States has relied on hostile foreign actors to supply and process the critical materials that are essential in battery manufacturing and materials processing. Thanks to President Trump’s leadership, the Department of Energy is playing a leading role in strengthening these domestic industries that will position the U.S. to win the AI race, meeting rising energy demand, and achieve energy dominance.” Assistant Secretary of Energy Audrey Robertson added from Japan that “Critical minerals processing is a vital component of our nation’s critical minerals supply base. Boosting domestic production, including through recycling, will bolster national security and ensure the United States and our partners are prepared to meet the energy challenges of the 21st century.”

The funding opportunity supports demonstration or commercial facilities focused on processing raw feedstocks into battery-grade materials, recycling end-of-life batteries or manufacturing scrap for material recovery, and increasing domestic capacity for strategic battery components. A webinar with more information will be held at 1:00 PM ET on March 26; non-binding letters of intent are requested by March 27 at 5:00 p.m., with applications due by April 24 at 5:00 p.m.

This announcement follows other recent DOE initiatives such as a July 2022 program providing $225 million for implementing new building energy codes funded by President Biden’s Bipartisan Infrastructure Law according to the department. In addition, U.S. Secretary of Energy Jennifer Granholm previously encouraged international cooperation on clean energy transitions during an event promoting the Global Clean Energy Action Forum as shown in a DOE video.

Technology development remains important within DOE missions; William White from DOE’s Office of Environmental Management highlighted national laboratory involvement in cleanup operations before Congress according to testimony. The department also applies innovative processes such as using crushed marble to treat groundwater at former power plant sites as reported by DOE.

DOE continues investing in decarbonization efforts with previous announcements like a $96 million opportunity aimed at expanding electric vehicle charging infrastructure and cleaner engine technologies according to DOE. Additionally, more than 140 programs have been launched supporting President Biden’s Justice40 Initiative to direct federal investments toward disadvantaged communities as stated by DOE.

Broader implications include increased national security through reduced dependence on foreign suppliers for critical materials and enhanced readiness for future energy demands.



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