Friends of NEI,
As the first quarter draws to a close, we’re hitting the road again, eager to engage with site selectors and investors. Next week marks a significant stride in our journey to promote our region’s hardtech and advanced manufacturing capabilities as we collaborate with the U.S. Department of Energy and U.S. Commerce at two pivotal events in Germany. Our mission? To showcase the transformative Inflation Reduction Act of 2022, a landmark policy injecting approximately $270 billion in tax incentives into America’s clean energy sector.
This initiative represents more than just financial incentives, it’s a beacon for the evolving energy landscape in the U.S. Through a combination of economies of scale, progressive government policies and robust incentives, the U.S. is rapidly becoming a global magnet for clean energy investments. At the heart of our discussions in Germany will be how this shift not only fosters a greener future but also opens lucrative avenues for investors worldwide.
The Office of International Affairs’ Market Development team is at the forefront, crafting novel clean energy marketplaces to channel American innovation overseas and attract foreign investment to our shores. Complementing this effort, the Department of Energy’s Office of Manufacturing and Energy Supply Chains is set to bolster manufacturing capabilities and workforce development across a diverse range of energy technology supply chains.
A critical piece of the puzzle lies in the incentives offered by the IRA, including the Advanced Manufacturing Tax Credit (45X) and the Advanced Energy Project Investment Tax Credit (48C). To qualify, manufacturers must produce specified components categorized into five areas: inverters, solar and wind energy, qualifying batteries and critical minerals.
Our engagements in Düsseldorf and Munich anticipate connecting with 75-100 potential investors, underscoring our mission to attract overseas investment. For them, we have prepared a custom cutsheet highlighting how the key to success will be determined by the unity of coordination among localities, regions, key stakeholders and state government. We will also highlight the benefits of our region and state economic growth and stability, as well as numerous business-friendly policies, cost competitiveness across the Midwest and logistic advantages. Yet, it’s crucial to highlight the domestic impact of these initiatives.
A recent success story is Real Alloy in Wabash, Indiana, which has been selected for a pioneering project to decarbonize aluminum production. This initiative, eligible for up to $67.3 million in federal support, underscores the readiness and capability of local communities like Wabash to back their industries in securing federal resources.
This achievement is a testament to the tangible benefits of such programs, spotlighting the potential for further investments and partnerships with local industries and leaders. As we prepare for the upcoming events, we remain committed to fostering opportunities that bring together the best of American innovation and global investment potential.
Congratulations to Real Alloy and the community of Wabash. Together, we’re not just navigating the road to cleaner energy, we’re Pioneering it for future generations.
Warm regards,
Stéphane Frijia
