Michigan taxpayers gave General Motors $600 million to create thousands of jobs at an Ultium Cells battery plant near Lansing, now they’re waiting to see if a South Korean company fulfills that obligation. GM announced earlier this month it’s backing out of the joint venture with LG Energy Solution that was funded in part by the largest taxpayer incentive package in state history, but neglected to mention it already pocketed the cash.
“State records obtained by The Detroit News indicate the entire performance-based grant was paid out by the Michigan Treasury Department to GM and its partner in an EV battery plant between June and September 2023, more than a year before the Detroit automaker announced Dec. 2 that it would sell its stake in the Lansing area battery plant that had received part of the grant,” the news site reports.
The 2022 incentive package, the first approved through a newly created Strategic Outreach and Attraction Reserve fund run by the Michigan Economic Development Corporation, paid out a record $666 million for the Ultium Cells plant and to transition GM’s Orion Township assembly plant to produce all-electric pickups. The agreement was predicated on GM’s promise to invest about $4 billion in Orion Township and $2.5 billion in Ultium Cells, and create about 3,200 jobs – 1,840 in Orion Township and 1,360 at the Ultium Cells plant.
Michigan Gov. Whitmer Paid Out Full $600M to GM Before Jobs Were Created
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