We’ve just pulled in some news in response to two of our previous stories about the state of Michigan offering tax credits and development money to companies making batteries. It seems that now there are four organizations looking to build plants in the state, which is to add to GM, Ford and Chrysler who have their own projects in development.

These plants should account for around 6,600 jobs and the companies behind them will spend an estimated $1.7 billion to build. Here are the four most likely companies moving to Michigan.

• Johnson Controls-Saft Advanced Power Solutions has partnered with Ford and plans to build its plant in Holland Michigan.
• LG Chem-Compact Power, which has the deal to build battery packs for the Chevrolet Volt.
• KD Advanced Battery Group LLC, a joint venture between Dow Chemical, Kokam America and Townsend Ventures.
• A123 Systems Inc plans to build a plant in Livonia Michigan to provide lithium ion battery packs for Chrysler’s ENVI projects.

There were other applications from hopeful battery makers that were not accepted, but not listed on any report.  A number of other Michigan-based projects were also announced, which bodes well for the state.

Below is part of a press release about these new plants and projects.

PRESS RELEASE:

Governor Granholm Announces Companies Investing Over $2 Billion, Creating More Than 7,700 New Jobs in Michigan

LANSING – Governor Jennifer M. Granholm today announced that Michigan’s aggressive strategy to diversify the economy and grow entire new industries has resulted in 14 job-creating projects, generating more than 7,700 new jobs and over $2 billion in new investment in communities across the state.

The projects include: four advanced-battery manufacturing projects; six company expansions in diverse industries like agriculture, automotive research and development and IT business software; a new film production studio; and three brownfield redevelopments that will transform blighted and abandoned sites into new centers of economic growth and activity.

“The depth and scope of these projects demonstrate that Michigan has exactly what companies are looking for as they choose where to locate and grow their business – an aggressive economic growth strategy, a competitive business climate, innovative economic development tools and an outstanding workforce,” Granholm said. “If companies are looking to invest and create jobs, we want them to know that Michigan is a great state to do business.”

Project details include:

Johnson Controls-Saft Advanced Power Solutions LLC (JCS) – Milwaukee, Wisconsin-based JCS, one of the leading independent suppliers of lithium-ion batteries for hybrid and plug-in hybrid electric vehicles, plans to invest $220 million in a new advanced-battery manufacturing facility in Michigan to produce lithium-ion cells for automotive applications. The project is expected to create 498 new jobs. Based on the Michigan Economic Development Corporation’s (MEDC) recommendation, the Michigan Economic Growth Authority (MEGA) board today approved a state tax credit valued at $48.5 million over 15 years and a battery cell state tax credit valued at $100 million over four years to help win the project over competing U.S. sites. JCS has partnered with Ford Motor Company on battery-cell manufacturing, pack and system development, and integration capability. http://www.saftbatteries.com

LG Chem-Compact Power (LGC-CPI) – Korean-based LG Chem, in partnership with its U.S. subsidiary Compact Power and General Motors, has proposed a plan to manufacture lithium-ion battery cells in Michigan. LCG-CPI plans to invest $200 million in the project, which is expected to create more than 300 new jobs. Based on the MEDC’s recommendation, the MEGA board today approved a state tax credit valued at $25.2 million over 15 years and a battery cell state tax credit valued at $100 million over four years to help win the project over competing U.S. sites. http://www.compactpower.com

KD Advanced Battery Group LLC (KD) – The joint venture of The Dow Chemical Company, Kokam America Inc., and Townsend Ventures LLC, formed to construct and operate a large scale battery and cell manufacturing facility in Michigan, plans to invest $665 million in a new 800,000 square-foot battery manufacturing facility to produce its patented Superior Lithium Polymer Battery technology for the electric and hybrid electric vehicle markets. The project is expected to create 885 new jobs. Based on the MEDC’s recommendation, the MEGA board today approved a state tax credit valued at $44.6 million over 15 years and a battery cell tax credit valued at $100 million over four years to help win the project over competing U.S. sites. http://www.dow.com http://www.kokamamerica.com

A123Systems Inc . – The Watertown, Massachusetts-based designer, developer and manufacturer of rechargeable lithium-ion batteries and battery systems plans to invest over $600 million in initial coating, cell manufacturing, and pack assembly in Michigan. The planned project is expected to create over 5,000 new jobs. Based on the MEDC’s recommendation, the MEGA board today approved a high-tech state tax credit valued at $25.2 million over 15 years and a battery cell state tax credit valued at $100 million over four years to help win the project over competing U.S. sites. A123Systems is one of the state’s six Centers of Energy Excellence and has entered into a development and manufacturing agreement with Chrysler LLC to provide battery systems for the company’s ENVI product line. http://www.a123systems.com

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“All of these projects are the result of a proactive economic development strategy,” MEDC President and CEO Greg Main said. “We have identified key growth sectors, and we are aggressively targeting those projects that will help us diversify Michigan’s economy.”

In her 2009 State of the State address, Granholm emphasized the importance of creating jobs, diversifying Michigan’s economy, and providing education and training to workers. Since January 2005, the governor and the MEDC have announced the creation or retention of more than 320,000 jobs as a result of targeted assistance provided by the MEDC.

The Michigan Economic Development Corporation, a partnership between the state and local communities, promotes smart economic growth by developing strategies and providing services to create and retain good jobs and a high quality of life. For more information on the MEDC’s initiatives and programs, visit the Web site at www.TheMEDC.org.

Now this is what I love seeing…the government putting their money into the Big 3 in a big way. I know I’ve been harsh on the president in my last few posts, but I for one don’t like the idea of bankrupting GM, which seems to be the plan of the current administration.

As part of the administration’s $787 billion stimulus package, the feds plan to spend $300 million to replace its current fleet of vehicles. Some $285 million of that amount will be used to purchase some 17,600 new vehicles from the Detroit 3 automakers by June 1st. Each new vehicle will be required to manage at least a 10 percent improvement in overall fuel efficiency to be considered for purchase.

In the first wave of orders will be 2,500 hybrid sedans and the sales will be finalized on April 15th. We’re not sure how the sales will be divided amongst Ford, GM and Chrysler, but Chrysler doesn’t have a hybrid to offer so it seems that they might be out of the running.

The remaining $15 million of the program money will be used for pilot programs focusing on “commercially available compressed natural gas and hybrid buses, and all-electric vehicles.” Obama said that this action will end up “saving the government significant money over time.”

Upgrading the government’s current fleet for more fuel efficient models will save 1.3 million gallons of fuel per year and lower carbon emissions by 26 million pounds.

As a company A123 is leading the way in American battery manufacturing as well as research and development. They are also looking to make their batteries right here in the good ‘ole US of A.

Earlier this week, Chrysler confirmed it would be using battery packs supplied by A123 to power it’s ENVI program of cars. To make this deal work , A123 will build an assembly plant somewhere near Detroit Michigan. The proposed plant would eventually employ 14,000 people and have the capacity to supply 5 million hybrid vehicles or half a million battery electric vehicles.

A plant of that size won’t be cheap, and A123 is reportedly planning to launch large scale manufacturing in more than one location. To help defray a sizable portion of the $2.4 billion it will cost to get these plants built, the battery maker has applied for $1.84 billion from the Department of Energy. A123 confirmed that at least one plant will be built in Michigan regardless of whether or not its loan application is approved. Currently, A123 has plants in Massachusetts, South Korea and China.

Of course A123 will also take advantage of monies and tax credits offered by the state of Michigan, but one wonders why building a new facility is preferred over taking an existing location that might be lying fallow in the state.

Update

A123 Systems now has added an additional $69 million in new investment money to their bank accounts. General Electric put up $15 million, bringing its ownership in the advanced battery start up company to over 10 percent. The news is significant since Chrysler announced that A123 Systems would be its  primary supplier of lithium ion batteries for electric vehicles.  SAIC of China also awarded the company a large contract to supply batteries for their EV’s.

A123 Systems is still waiting for an answer from feds on how much, if any, money it will get through the ATVM loan program and stimulus funds for green technology projects. In the meantime, A123 is moving ahead with plans to build a new factory in Michigan that will produce automotive lithium ion cells and modules.

I don’t know about you, but to me Tesla is a company with both nerve and foresight mixed in with a lot of faith. They have a great product in their all electric Roadster and have added to the companies mystique with the new Model S and extended range S Signature EV. It seems like more people are gaining that faith in Tesla because in the past two weeks since the official release of the Model S orders for Tesla cars have shot up the charts.

711 people have paid up to $40,000 in deposit money for the sedan due out late in 2011. Currently we don’t have a breakdown on how many of the standard S have been ordered or the S Signature, but no matter how you slice it the car is a hit. Standard model S’s require a refundable $5,000 deposit while the extended range Signature model commands a $40,000 deposit.

With all the initial success of the Model S Tesla is also getting lots of people standing in line for their Roadster. The company claims that over 1,000 enthusiasts have signed up for one of the 2000 cars to be made in the companies first run.

As the automotive market gets tighter and less cars are being sold it seems that more young companies are coming up with alternative power vehicles to replace them. If you look at the way things are headed in the U.S. it is clear that GM is on its way out after 100 years, and the future of Chrysler is gloomy at best, but companies like Tesla, Fisker and now Detroit Electric are offering electric cars to anyone willing to invest in the future.

Detroit Electric is a new name on the horizon, but have been making news in the past month. The company is based out of the Netherlands and selling cars made in Malaysia. Currently they are looking for dealers in the U. S. to market and sell the companies upcoming electric vehicles and are doing it in a different way. Dealers must fill out a formal application to sell the vehicles starting in early July.

DE plans to have between 140 and 150 dealers all exclusively selling vehicles as the company will not allow dual dealerships. Every dealer selected will have to build or purchase a building that only sells Detroit Electric Products.

The vehicles are expected in the U.S. about 18 months from now with the company predicting around 40,000 first year sales. Considering the economy and origin of the cars plus the fact that no one has heard of Detroit Electric I’d have to say those numbers are very optimistic.

I for one would love to see these cars, but to date it doesn’t seem that they have been taking part in any of the numerous auto shows worldwide.

Right now is about one of the best times in a long time to purchase the car you need. If you’ve been reading this blog you are aware that several car manufacturers have come up with great new programs to get buyers into a new vehicle. Some hot new cars are hitting the market and you may be wondering if it is a good time to make your move.

Maybe, like a lot of Americans, your credit is not as good as you’d like it to be. Possibly you have doubts about your job and money is tight. Considering the present economic climate a lot of people are in this boat, but you still need good, solid transportation for work and your family.

What we do at CarloanASAP

We deal with people and credit issues everyday. Our job is to find a local dealership that is willing to work with the credit challenged. You may have been to a local lot and talked to sales people that wanted you to buy, but looked at your credit history and couldn’t help. This scene happens all too often in the U.S, but at this time you see that car dealerships are begging people to come into their showrooms.

All you need to do is click here and fill out an easy form…CarloanASAP will do the rest. We will find a couple of local dealerships that will work with your credit issues and willingly help you find the right car for you.

In most cases people with poor credit are relegated to buying a used car, but with the prices dropping and deals all over the map, we might be able to get you into a new vehicle at a price you can afford…but first you have to visit our site.

Easy as 1-2-3

1. Visit our site…click here.

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At CarloanASAP we match you with the best local dealers that want your business. This isn’t rocket science, it’s just what we do. Act Now and Drive away with the car you need. Click here to start step 1.

One of the great things about doing this blog is seeing the cars of the future. When I was a kid growing up around Detroit my friends and I used to keep mental notes on which of the new cars we’d see on the streets each season. We actually played baseball next to the railroad tracks that hauled in frames to Ford plants, and new cars would exit the city on those same rails. We’d see them by the hundreds leaving the plants as we played the greatest game ever…ah, baseball and cars, a little boys dream.

Now that I’m kinda grown up it is a thrill to witness all the changes coming in the world of cars. One that I like from it’s styling cues is the iMiEV from Mitsubishi. I love the bubbled futuristic lines of this electric concept, and have watched the news it has generated. Most of that news has been about the car being tested in Europe and Asia—alas, it seemed that my dream car may never make it to our shores.

Today, at the New York Auto Show, Mitsubishi officially announced that their iMiEV will indeed be introduced to America, but likely under a different name. Details have been sketchy, but AutoBlog Green is reporting that the car should be on sale here before 2012. Europeans can expect to see the iMiEV in 2011, but Mitsubishi is only slating production at 20,000 units.

The main problem isn’t making the car, it’s the batteries. GS Yuasa can not manufacture that much to keep up with those minor production levels even in Japan. My guess is that, if the car get as much sales momentum as it is getting in positive press, then Mitsubishi will turn to other sources and fill the demand. Until then I for one will grab my old baseball glove, have a catch with the kids, and dream of the old days again.

I guess this one falls under the category of “I’ve heard that before…” March’s car sales figures have just been released and it’s not good news for anyone.

Overall car sales for GM were down 44.7% in March 2009 compared to last years numbers. Looking at the year to date GM has slipped by 48.8% and are facing bankruptcy.

Chrysler is not doing any better with a decline of 39.9% for March. There was a bright spot in the month however, the men from Mopar sold 100,000 units for the first time since September of ‘08.

Ford posted a 42.1% decline in sales for March, but that is an improvement over their Feburary loses which tallied 49.5%. Out of the Big 3 U.S. automakers, Ford is the most solvent and their retail share is increasing as news from Chrysler and GM seems gloomy.

Japan’s Big 3 have all seen loses as well. Toyota dropped 39% overall, Honda’s sales numbers slid 36.3% and Nissan dipped by 37.7%.

Hybrid sales figures for March

Toyota has hit in the U.S. with the Prius, it is the flagship of their hybrid line, but March sales numbers are weak with loses of 55%. 8,924 cars were sold in March with 24,277 copies of the Prius crossing showroom floors for the year. Although that is a nice number it is down from 42,970 at this point in 2008.

Honda sold 2,869 copies of their Civic Hybrid in March with a total decline in sales of 20.8% from the 3,769 versions they sold in ‘08. Their new entry into the hybrid race is the Insight and in just 7 days of sales Honda moved 569 units.

Keep in mind that these numbers represent sales in the U.S. and not a worldwide total. Somehow we don’t seem to get the same coverage for sales in Europe or Japan.

Just so you know, Italian cars are selling well…Ferrari and Maserati are moving their stylish iron to the rich and famous. 2008 sales for Maserati were up 22%, but that was only selling 7,700 cars total for the season. I guess when it comes down to it the monied elite will always need a new red car in the garage this year.

As we’ve been saying all along it looks for all the world that GM is heading for Chapter 11 bankruptcy that may be coming sooner rather than later.

According to very anonymous sources within GM, principles have begun “intense and earnest” preparations for a possible bankruptcy filing. The unnamed source actually spoke to CNNMoney.com and said that GM is still hoping to win concessions from creditors and unions to avoid a possible bankruptcy, but the June 1st deadline given to GM by the U.S. Treasury department has led to intense bankruptcy preparations within the company.

GM is hoping that those creditors agree to take an equity stake in the company in return for reducing debt by at least two-thirds. GM owes about $28 billion to holders of unsecured debt.

What makes little sense to this writer is that GM is spending millions on advertising for their “Total Protection” program that covers all brands in the General Motors stable except for Saab. The program is meant, in part, to instill confidence in buyers that GM is solvent. Experts all agree that if news of a possible bankruptcy were to become public knowledge sales would plummet and the problem would worsen. Read more >>

We are all waiting for the time when electric vehicles become commonplace, but until that happens we must build an infrastructure to recharge those EV’s.
To date there have been some innovative solutions and using the sun is one that seems to be taking hold.

Chicago based Carbon Day Automotive has recently unveiled the first solar powered EV charging station in the city of Chicago. The Solar Plug-in Station is designed by renowned architects Adrian Smith and Gordon Gill and built by Carbon Day Construction.

Carbon Day integrated the charging station into the P.V. panels, integrated the battery storage component for shady days, and created enough structural flexibility to replace the panels as new technologies develop in the solar industry.

Pure Energy, LLC, Northbrook installed the sculpted piece and interfaced it with the concealed underground battery pack enhanced to store solar energy, specially designed and developed by All Cell Technologies, a thermal management and power pack solutions manufacturer.

The Solar Plug-in Station will pave the way to fuel PHEV’s, EV’s  and will be used daily by the City of Chicago Dept. of Fleet Management.

Carbon Day Automotive is the sole Midwest distributor for the Charge Point system made by Coulomb Technologies.