Ohio offers USD 156M in incentives for Honda battery plant

Ohio plans to offer approximately USD 156.3 million in tax incentives and infrastructure improvements for a massive battery plant project that Honda

Officials say the battery plant, to be built jointly with LG Energy Solution of South Korea, will be located in rural Fayette County, about 40 miles (64 kilometres) southwest of the state capital of Columbus.

Of USD 85 million set aside for infrastructure improvements, USD 75 million will be for water and utility improvements and the rest will be to improve local and state roads, state officials said on Wednesday.

The remainder will go towards tax incentives over a 30-year period, according to state officials. However, local tax incentives are not included in this incentives package.

In an announcement on Tuesday, Honda said it will build a USD 3.5 billion joint-venture battery factory in rural southern Ohio and hire 2,200 people to staff it.

Honda also announced its plans to invest USD 700 million and add 300 jobs at three of its own Ohio factories to prepare them to start making EVs and components.

The battery plant could see a total investment of USD 4.4 billion, officials said.

Source : AP