After Australian mining company Fortescue pulled the plug on a an under construction $210 million factory that promised to bring 600 good-paying jobs to the area, Democratic lawmakers are calling for accountability.
Progressive leaders called for answers this week for the cancelation of the EV battery plant that would have transformed the former Fisher Body plant in the Milwaukee Junction neighborhood into a clean-energy manufacturing hub.
“Current policy settings and market conditions in the United States, including recent changes to critical tax credits, have created significant uncertainty around the viability of long-term investment in advanced manufacturing,” a Fortescue spokesperson said in a statement to Crain’s Detroit Business, which first reported the news.
The company announced the proposed EV plant at the Fisher Body Plant in 2023. EV chargers, batteries and hydrogen generators were planned to have been built there.
Officials Wednesday including State Sen. Stephanie Chang said the September cancelation is a huge hit to the potential progress on local employment, industrial revitalization, and air-quality improvements.
“To cancel a critical clean energy investment in Detroit is to rip away more breathable air for our children, our grandchildren and vulnerable Michiganders,” Chang said. “The Trump administration’s rollbacks on clean energy policy is indicative of the fact that they fail to understand the positive jobs, climate and health impacts for our local communities. We should not stifle innovation or clean energy progress to keep outdated energy sources alive.”
The company cited the cutting of clean energy tax credits in Republicans’ most recent budget bill, according to a report from Politico last week.
On Wednesday, November 19, local leaders came together to demand accountability for the cancellation of the Fortescue electric vehicle battery plant – and the loss of the 600 good-paying jobs and cleaner future for Detroit families that would have come with it.
Chang spoke about Detroit’s future as a clean energy leader and how EV manufacturing has been stymied by the cancellation of clean energy incentives through the Republican-led budget bill.
The cancellation is a setback for the city’s attempt to bring a green manufacturing boom. The facility, which was to be the company’s first U.S. Advanced Manufacturing Center, was expected to create 600 jobs with an average annual wage of more than $45,000.
The project was aggressively courted by state leaders who offered $12.7 million in tax incentives and $11 million in Detroit brownfield incentives.
“Detroit has always been at the forefront of vehicle innovation, and this investment was an opportunity to show what Motor City is able to do,” said Jamie Racklyeft, Executive Director, Michigan Electric Vehicle Alliance (MEVA). “We can still be the hub for electric vehicle innovation if our leaders prioritize clean energy so we can make a brighter future for transportation.”
