Biden is expected to invoke cold War-era legislation to expand the production of automotive battery materials


US President Joe Biden is preparing to invoke cold War-era powers as soon as this week to encourage domestic production of materials for electric cars and other types of batteries, Bloomberg reported On March 30, citing sources.The White House is reportedly discussing adding battery materials to the list of items covered by the Defense Production Act.The move comes after former US President Donald Trump adopted the same measure to stimulate mask production in response to COVID-19.The Defense Production Act is a 1950 wartime law that gives the president more power to require industries to expand production of critical goods.The biden administration’s proposal to add materials such as lithium, nickel, graphite, cobalt and manganese to the list would give mining companies access to a $750 million fund under the Defense Production Act, the sources said.The move will also help recycle battery materials, one of the people said.In addition, the directive will replace loans or direct procurement.In addition to electric car batteries, the bill would also apply to high-capacity batteries.The legislation could be introduced as early as Thursday, the people said, but one said it was not final and the timing could change.

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