The Inflation Reduction Act makes historic investments in America’s future while lowering health care and energy costs. The Act is intended to build a brighter future for young Americans by lowering costs, advancing environmental justice while building a cleaner future, and growing the economy from the bottom up and the middle out.
The law will raise $737 billion and authorize $369 billion in energy and climate-related spending. $60 billion is earmarked for domestic manufacturing to bolster the clean energy supply chain, which includes but is not limited to, batteries, electric vehicles, solar modules, wind energy components. It also boost support for research and development. $2 billion of that is to retool existing automotive manufacturing plants so that they can supply the electric vehicles of the future. Another $20 billion is for loans to manufacturers to build those plants.
President Biden signed the Inflation Reduction Act into law on August 16, 2022. Hailed as "landmark" legislation, the support for boosting made in the USA manufacturing is expected to reduce reliance on China.
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