October 5th, 2022

New Battery Component Manufacturing Facility in Big Rapids to create 2,350 jobs

Gotion chooses Big Rapids for $2.3B investment

Advanced Manufacturing Mecosta County

The Right Place, in collaboration with state and local partners, announced today that global battery company Gotion has chosen to build its battery component manufacturing facility in Big Rapids. This transformational project will create 2,350 jobs and result in an investment of more than $2.3 billion in the Big Rapids area.

“The Right Place is honored to have played a role in bringing this transformational project to the Big Rapids area," said Brent Case, Vice President, Business Attraction, The Right Place, Inc. “The location and community have been prepared for an opportunity like this to utilize the infrastructure, locally trained talent pool and outstanding resources from Ferris State University. We are well on our way to positioning the region at the center of West Michigan’s growing mobility and EV sector.”

“This project has the potential to provide great jobs to multiple generations of our citizens,” said Mecosta County Controller/Administrator Paul Bullock. “Citizens who will not have to leave our community for this type of opportunity, but who will be able to stay, grow, and enrich our community through their presence.”

Founded in 1998 and based in Hefei, China, Gotion High-tech Co. engages in the research and development, production, and sale of power lithium batteries in China and internationally. Its products include lithium iron phosphate materials and batteries, ternary materials and batteries, power battery packs, battery management systems, and energy storage battery packs for use in electric commercial vehicles, passenger vehicles, special vehicles, and hybrid vehicles. Gotion also offers high-voltage electrical appliances, switchgear equipment, electrical digital equipment, intelligent distribution network equipment, serialized transformers, transformers, circuit breakers, integrated charging piles, on-board chargers, and energy storage cabinets for use in thermal power, hydropower, nuclear power, wind power, metallurgy, railway, and other industries.

Gotion was incorporated in California in 2014 and was focused on research and development activities in Fremont, California as well as Cleveland, Ohio. Now, future operations, including this project, will focus on establishing production capacity for the United States.

"We are thankful to the Big Rapids community, State of Michigan and all who have supported us in getting the project to this important milestone. We are dedicated to bringing world class lithium battery production to North America and delivering high-quality products to our customers in a timely fashion. We look forward to our continued partnership to ensure a smooth launch,” said Chuck Thelen, Vice President of Gotion Global.

The MSF Board today approved support that will enable up to $2.364 billion investment in Michigan by Gotion creating up to 2,350 new jobs in Big Rapids and the surrounding area, to serve increasing demand in the battery production industry. Gotion will initiate a multi-phase project in Big Rapids where it will build a battery components manufacturing facility to serve a growing customer base throughout North America and globally.

Once completed, the facility in Big Rapids is expected to produce 150,000 tons of cathode material per year, covering an area estimated to span 260 acres with plans to build two 550,000 square foot production plants along with other supporting facilities. Additionally, the project will involve the construction of two production plants specifically dedicated to producing anodes, ultimately resulting in 50,000 tons of anode material produced per year.

“We are proud to partner with Gotion, Governor Whitmer, The Right Place and MEDC to support this once-in-a-generation opportunity for Big Rapids to bring more success and prosperity for Michigan,” said Garrick Rochow, President and CEO of Consumers Energy. “Consumers Energy plays a pivotal role in the economic development success of this project providing a competitive electric rate to attract this investment and a unique partnership ensuring high reliability, not only for Gotion, but for the entire Big Rapids region. We are also thrilled to partner with the company to deliver on their commitment to have 100% renewable energy powering their facility which aligns with our strategic vision through our Clean Energy Plan.”

In order to secure today’s project – which Michigan won out over Texas, Georgia, Kentucky, South Carolina, Illinois and Ohio – the MSF Board approved a package of incentive support, including:

  • A $125 million Critical Industry Program performance-based grant through the SOAR Fund
  • An MSF Designated Renaissance Zone estimated to be worth $540 million
  • A $50 million Strategic Site Readiness Program performance-based grant through the SOAR Fund will be administered by The Right Place to assist with infrastructure improvements.

In addition to MSF support, both Green Charter Township and Big Rapids Charter Township anticipate approval of a PA 198 real property tax abatement. Green Charter Township, Big Rapids Charter Township, and Mecosta County have also authorized a 30-year Renaissance Zone in support of the project.

“We are excited at the opportunity to partner with Gotion, our municipal leaders, and our economic development partners on this once-in-a-century project that will have a significant impact for both the Big Rapids region and for Ferris State University. Gotion has made it clear that Ferris State University will be a strong partner in this effort for many years to come, and we are well prepared to do so,” said Ferris State University President Bill Pink. “While we have not yet reached the finish line, the board approval this morning has moved us one step closer to a collaboration that will positively impact and enhance our region and state as a whole. I am excited about this opportunity to advance our region, the city of Big Rapids, and our great university!”

“Gotion’s $2.36 billion investment creating 2,350 good-paying jobs in Big Rapids is the biggest ever economic development project in Northern Michigan and will shore up our status as the global hub of mobility and electrification,” said Governor Gretchen Whitmer. “I am proud that Republicans and Democrats worked across the aisle to build up our economic development toolkit and empowered Michigan to compete for every project and every job. Together, we will continue winning investments in this space and become the preeminent destination for electric vehicle and mobility companies. We will work with anyone and compete with everyone to keep bringing supply chains of batteries, chips, and electric vehicles home to Michigan.”

“We are thrilled to congratulate the Gotion team on choosing Michigan as their American home for opportunity! Team Michigan continues to out-hustle and out-compete to ensure every global company considering their future expansion opportunities can see their future here in our state, just like Gotion does,” said Quentin L. Messer, Jr., CEO of MEDC and President and Chair of the MSF Board. “We are grateful for the support and collaboration from our multiple local partners at the city and country levels, our partners at The Right Place and Consumers Energy, in particular, and appreciate the bipartisan support of the legislature to bring these good-paying jobs and economic opportunities to our friends and neighbors both here in Big Rapids and throughout the region.”