Amprius Technologies announced on Tuesday that it will not proceed beyond the design stage for a proposed $190 million vehicle battery factory in Brighton, marking another setback for Colorado’s clean energy ambitions.
The company, alongside state and local officials, had previously revealed plans in 2023 to transform an Adams County warehouse spanning over 700,000 square feet into a state-of-the-art battery production facility, intending to create 332 jobs during the first phase over a two-year timeline.
This project was linked to a substantial $50 million grant from the U.S. Department of Energy, allocated through the Biden administration’s Bipartisan Infrastructure Law, in addition to incentives and tax relief offered by Colorado’s local governments.
However, in its latest statement released through a public relations agency, Amprius conveyed that it currently has no plans to advance to the next phase of the facility’s development.
The company stated, “At this time, there are no immediate plans to move forward with the next phase of the Colorado facility. We have completed the design phase and continue to closely monitor market dynamics. Building a domestic supply chain for next-generation batteries is important, but also uniquely challenging.”
Amprius refrained from discussing specific considerations impacting their decision, including the effects of President Donald Trump’s fluctuating tariff policies, the uncertainty surrounding Congress’s commitment to prior clean energy incentives, and the rising competition from Asian battery manufacturers like those in China.
“Manufacturing these cutting-edge battery technologies at scale in the U.S. requires a highly capital-intensive process,” the statement explained.
The statement further emphasized that in addition to financial considerations, producing next-generation batteries demands a significant level of technical expertise, which is still in development within the United States.
Meanwhile, other nations have dedicated years to developing mature, efficient battery industries, giving them a distinct advantage in this field.
Based in Fremont, California, Amprius is currently meeting the demand for its batteries through various global contract production arrangements.
Alissa Johnson, communications director for the Governor’s Office of Economic Development and International Trade, expressed disappointment over the cancellation of Amprius’s expansion plans, while also maintaining optimism about Colorado’s overall clean energy business environment.
Johnson noted, “Our state’s thriving business climate continues to support the renewable energy transition and the growth of the renewable energy industry. Our talent pipeline, collaborative network of higher education and research institutions, and shared commitment to renewable energy make Colorado the perfect place for this important industry to excel.”
The cancellation of the Brighton battery factory is part of a broader trend, as it represents at least the third major clean energy project that has been abandoned soon after being announced.
In early 2023, VSK Energy had publicized plans for a $250 million solar panel manufacturing facility in Brighton that was expected to create up to 900 jobs.
Yet, by 2024, plans for that project were also scrapped.
Similarly, Meyer Burger, a Switzerland-based firm, had aimed to establish solar cell production at a former microchip factory in Colorado Springs with a $400 million investment and approximately 350 new jobs.
This project was annulled last year due to market fluctuations and recent U.S. policies that allowed cheaper imports of certain solar products.
The pattern of project cancellations in Colorado’s clean energy sector has been attributed to a confluence of factors, including anticipated cuts in tax credits and subsidies that have historically bolstered the industry, according to KC Becker, executive director of the Colorado Solar and Storage Association.
Becker highlighted that the continued volatility stemming from tariff changes and shifting policies regarding the importation of crucial materials complicates business planning for local firms.
“Eliminating the federal tax credit that makes rooftop solar affordable over time, as budget planners in the GOP majority want to do, will drop Colorado’s home solar industry and thousands of employees ‘off a cliff,'” Becker stated.
Despite the setbacks, the Biden administration’s goals for a transition away from fossil fuels continue to promote the growth of domestic clean energy infrastructure.
Colorado’s political leaders have reiterated aspirations to see solar installations utilizing domestically manufactured panels, alongside a shift toward electric vehicles powered by U.S.-made batteries.
However, as the landscape of U.S. clean energy policies shifts rapidly, it risks relinquishing its influence in advanced manufacturing to other countries that are steadily making investments in wind and solar technologies.
Amidst the uncertainty surrounding canceled projects, Colorado’s economic development office emphasized that some clean energy manufacturing initiatives are still progressing, including Solid Power’s expansion of manufacturing capabilities and Peak Energy’s establishment of an engineering center aimed at sodium-ion battery production.
Since July 2024, the Colorado Economic Development Commission has approved job growth incentives for six renewable energy-associated companies projected to create up to 967 new jobs, indicating that while some projects falter, others continue to emerge.
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