BRUNSWICK COUNTY — The first and largest investment from an Indian company in the U.S. electric vehicle market will bring a $650- million graphite manufacturing facility and an estimated 500 jobs to Brunswick County.
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Mumbai-based Epsilon Advanced Materials, India’s leading provider of synthetic graphite used in electric vehicle batteries, will build the facility. Founded in 2018, EAM works with Li-ion battery technology for industrial and energy applications.
Epsilon estimates the plant will be able to power more than 1 million electric cars by 2030.
It’s a project Gov. Roy Cooper believes will help make North Carolina a “global epicenter” of the clean energy industry.
“Clean energy is critical to fighting climate change to save our country,” Cooper said at Brunswick Community College on Wednesday. “But even for the few who don’t believe that, clean energy is where the capital markets are going anyway — it’s where the money is going.”
The International Energy Agency anticipates the amount of electric cars on the road will multiply by 10 by 2030, and Blackrock, the world’s largest asset manager, estimates the green energy transition will drive 25% cumulative gain in output by 2040. A U.S. Department of Energy study found clean energy jobs grew in every state in 2022.
EAM is in the process of acquiring necessary permits to begin construction, slated for mid-2024. The company hopes to open the plant with phase one capacity of 30,000 tons per year in 2026 and reach full capacity of 50,000 tons annually in 2031.
Graphite is the largest material component in batteries used for clean energy vehicles; according to Berkshire Hathaway’s Business Wire, the global graphite market is expected to grow from $23.73 billion in 2022 to $37.68 billion by 2028.
Synthetic graphite is generally considered to produce faster charging and better battery longevity than its natural version.
Brunswick County Commissioner Chair Randy Thompson told Port City Daily he’d been working with Epsilon and the governor for months on the new plant. He said the estimated 500 new jobs will be full-time with an average salary of $52,264; the current average wage in the county is $46,464.
Last Monday, commissioners unanimously approved a $19-million purchase of 539 acres in the Mid-Atlantic Industrial Rail Park — where Epsilon plans to build its plant. The Epsilon facility will be spread across 1.5 million square feet in the area.
“I feel the close proximity to the port was certainly a good selling feature, you know, our acquiring the land for the facility — I think that probably helped,” Thomson said.
EAM director and CEO Sunit Kapur cited other benefits of Brunswick’s location: The nearby community college is expected to support talent acquisition and it will be close to Southeastern vehicle manufacturing facilities and automotive suppliers.
A North Carolina Job Development Grant will help support EAM’s project; if the North Carolina Commerce and Revenue departments verify the company has met job creation and investment targets, it will be eligible for up to $3,443,250 in tax revenue reimbursements over the next 12 years. The N.C. Economic Investment Committee estimates the project will grow the state’s economy by $1.3 billion over 12 years.
Kapur said the project will help North Carolina’s automotive producers by reducing costs, streamlining logistics, and providing direct access to the global electric vehicle industry.
“We believe that Epsilon’s investment here is not just a milestone in the EV industry, it’s a testament to the strong U.S.-India trade relationship,” Kapur said at the announcement. “We believe that having an environmentally friendly world class facility in North Carolina addresses supply chain concerns that the automotive industry has faced in recent years.”
Kapur told Port City Daily his company is under “huge pressure” from customers — which he specified as automotive original equipment manufacturers — to expand its footprint stateside. He said the company will have its “hands full” with the new project, but they are “not shutting their eyes” to opportunities for building other facilities in the future.
Kapur did not disclose potential U.S.-based contractors Epsilon is considering to build the new facility.
Jeff Marootian, the Biden administration’s principal deputy assistant secretary in the Office of Energy Efficiency and Renewable Energy, also spoke at the meeting. He echoed Kapur’s belief in the significance of U.S.-Indian cooperation on the new project.
“As the second and third largest emitters in the world, our partnership is make-or-break for our climate goals,” he said. “And it’s exciting because the global clean energy market presents a huge opportunity — $23 trillion by the end of this decade.”
Cooper emphasized his intention of continuing to develop the state’s clean energy supply chain and make North Carolina carbon-zero by 2050.
More than 190 miles away in Randolph County, Toyota is building a mega site for making hybrid and electric batteries for vehicles. It’s expected to be operational by 2025 and is the first battery plant the company has launched in North America.
“Our supply chain runs from mining lithium in Cleveland County, to graphite here in Brunswick County, to semiconductors in Chatham County, to the batteries in Randolph County, and making electric vehicles themselves in Chatham County,” Cooper said. “And there is so much more to come.”
Tips or comments? Email journalist Peter Castagno at peter@localdailymedia.com.
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