Nissan applies for DOE loan program, purpose unknown
To date there have been 75 applications for low cost loans from the US Department of Energy through the Advanced Technology Vehicles Manufacturing Incentive Program. Only one of those has been from a Japan-based automaker, Nissan. The ATVMIP is the $25 billion fund created as part of the 2007 energy bill to help automakers and suppliers pay for the costs of developing and tooling to build more efficient vehicles that meet the new CAFE requirements.The 75 applications so far equal total requests of $38 billion, so some companies are expected to come away empty handed. A Bloomberg report quotes Energy Department spokesman Phil West as saying only 26 of the applications are "substantially complete." The largest chunks are expected to go to the Detroit automakers along with some battery suppliers. Tesla Motors applied for $450 million in funds to pay for the development and production of its Model S sedan.
As for Nissan, spokesman Brian Brockman told ABG "Yes, we've applied. We aren't discussing how much or what we would use it for." Given Nissan's commitment to bringing electric vehicles to market beginning in 2010 and its involvement with Better Place, it could be looking at building EVs here in the United States.
[Sources: Bloomberg, Nissan]
Reader Comments (Page 1 of 1)
jharlan 10:12AM (2/09/2009)
If Nissan is first to market with an extended range, freeway speed, reasonably priced auto, they are winners. If they are built in the US they are winners again. If they try to sell a fancy golf cart for 30K, they will be irrelevant and shouldn't receive taxpayer money. If they try to sell a nice, capable EV for 60K they are also irrelevant. Their offering has to make economic sense for ordinary people. The rich can already afford really green vehicles.
Reply
jpm 9:37PM (2/09/2009)
Why is a Japanese co. applying for a US gov't loan?
Reply
Sam Abuelsamid 9:58PM (2/09/2009)
Because the law that created the program doesn't preclude it as long as the money is spent on facilities in this country.
Chris M 11:07PM (2/09/2009)
Only 26 out of 75 applications were "substantially complete". I suspect the other 49 were from small garage outfits that had converted a car or two and were hoping to make it to the big leagues, but they don't really know what they are doing as far as mass production is concerned.
It is going to be interesting to find out what the other 26 are doing, and who they are.
Reply