June 9th, 2025
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A Japanese company, Automotive Energy Supply Corp. (AESC), has temporarily stopped building its $1.6 billion factory in South Carolina. They said this is because of "policy and market uncertainty." The factory was going to make batteries for electric BMW cars. South Carolina's Governor Henry McMaster thinks the stop is due to possible changes in federal tax breaks for electric car buyers, help for EV businesses, and unclear import taxes if Donald Trump becomes president again. Even though construction is paused, AESC has promised to hire 1,600 workers and invest $1.6 billion, and they have already invested $1 billion in the Florence plant. Meanwhile, South Carolina is still investing a lot in electric vehicles. For example, Scout Motors, owned by Volkswagen, plans to invest $2 billion in a new factory to make electric SUVs by 2027. A bigger concern is how Trump's idea of high import taxes might affect the state's partnerships with foreign companies like BMW, Michelin, and Samsung.
June 9th, 2025
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