The construction of a new electric vehicle (EV) battery plant has been announced for the city of Manteno near Kankakee. Located at 333 S Spruce Street near I-57, the 150-acre site sits just south of the proposed site for the expanded Peotone Airport we covered recently. The plant was announced as a collaboration between the State of Illinois and Chinese battery maker Gotion Hight-Tech.
Located just 50-miles south of Chicago, the new $2 billion gigafactory is the largest investment in EV technology in the state’s history. The new plant would complement the company’s recently announced Michigan facility which will make the individual components assembled into battery packs in Manteno. Illinois already has multiple EV assembly plants and is trying to lure more, including to replace the closed Belvidere plant, hoping to use this as an incentive as well.
Plans for the plant have been in motion for over two-years now, with the final site selected being relatively empty as it was once a Kmart distribution center. Images shown at the announcement reveal that the manufacturer will utilize most of the existing structure, including for a new job training center. The development adds to a growth in investments in the Midwest, including Intel’s $20 billion semiconductor plant near Columbus Ohio.
The plant however will receive financial incentives from the state totalling $536 million, the largest portion of this will be $213 million in payroll tax credits spread across 30-years. This will be joined by $125 million in capital funds and other credits. These do require Gotion to create 2,600 full-time jobs which pay at least 120-percent of the average wage for similar positions, as well as invest $1.9 billion locally over time.