Grants

University of Michigan

To examine the impact of reshoring critical minerals production on electric vehicle manufacturers and surrounding communities in the United States

  • Amount $500,000
  • City Ann Arbor, MI
  • Investigator Sita Syal
  • Year 2024
  • Program Research
  • Sub-program Energy and Environment

As electric vehicle (EV) demand and manufacturing increase, companies must secure additional critical minerals and metals (CMM) for use in their batteries, creating new connections between EV automakers, mining companies, and local communities where CMMs are produced. Yet few studies examine the interaction between EV manufacturers, mineral production, and community impacts. This grant funds research that will take a dual-pronged approach to better understanding these emerging dynamics. First, the team will undertake 5-7 case studies of EV automakers to understand how these companies are responding to the reshoring of critical mineral development. The focus of these case studies will center on whether and how EV manufacturers plan to secure their own sources of mineral production. The team will then use these case studies to inform different modeling scenarios, called Mine Expansion Pathways, which visualize where and how the domestic mining industry might develop over the next 50 years to meet critical mineral demand for EV batteries. These Mine Expansion Pathways will identify when and where new mines might arise, which projects might be prioritized over others based on industry needs, and which surrounding communities could be affected. To model these alternatives, the team will combine a fleet turnover model, which forecasts future EV purchases and demand, with geospatial modeling to study the physical distribution of current and future CMM mines. The idea is that the qualitative interviews and quantitative scenario modeling efforts will build on one another: initial interviews will help provide realistic considerations for the modeling effort, which will in turn illuminate potential economic, equity, and sustainability trade-offs that can be used to inform future interviews about long-term strategic decision-making approaches within these firms. Together, this interdisciplinary approach will provide new insights into the dynamics between EV manufacturer demand for critical minerals, mining expansion, and community perspectives, and the results are expected to inform evolving economic and policy discussions.  Outputs for the work will include academic journal articles geared towards both energy engineering and business management fields, as well as shorter briefs summarizing case study findings for industry partners and managers. The team will publish their Mine Expansion Pathway scenarios in an online, interactive tool and disseminate their findings to decision-makers, through public interest articles, and via presentations at the Erb Institute’s Michigan Business Sustainability Roundtable.

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