Fortescue to establish major US manufacturing facility

Mining giant Fortescue Metals Group (ASX:FMG) will expand its global manufacturing capabilities through a US Advanced Manufacturing Centre in Michigan.

The $77.58 billion market capitalisation company will invest US$35 million to kickstart the Michigan-based facility, which has the potential to create up to 600 jobs in its first phase. 

Fortescue reports the facility is expected to become a ‘major’ hub for its production of automotive and heavy industry batteries, hydrogen generators, fast chargers, and electrolysers.

The facility is also expected to directly benefit from the Inflation Reduction Act tax credits for battery modules up to US$10 per kilowatt per hour. 

Fortescue Metals Group Executive Chairman and Founder Andrew Forrest says the facility represents the company’s investment into the next generation of green manufacturing projects to not only decarbonise the heavy industry but to also create a ‘strong’ future for US-based manufacturing jobs. 

Chief Executive Officer (CEO) Mark Hutchinson adds both Michigan and the greater US are ‘extremely attractive’ places to manufacture given its existing supply chain and ‘significant’ incentives from both state and federal governments.

Fortescue Metals Group is an integrated green technology, energy, and metals company established in Western Australia with a focus on developing and acquiring technologies the world needs to step beyond fossil fuels.

As of 30 September 2023, Fortescue Metals had US$3.1 billion cash and cash equivalents at hand, according to its latest quarterly report. 

Write to Adam Drought at Mining.com.au

Images: Fortescue Metals Group
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Written By Adam Drought
Born and raised in the UK, Adam is a sports fanatic with an interest in Rugby League and UFC/MMA. When not training in Muay Thai and Brazilian Jiu Jitsu, Adam attends Griffith University where he is completing his final year of a Communication & Journalism degree.