Cummins Inc. (NYSE: CMI) announced today that the company has received a $75 million grant to convert approximately 360,000 sq. ft. of existing manufacturing space at its Columbus (Indiana) Engine Plant (CEP) for the production of zero-emissions components and electric powertrain systems. This grant is the largest federal award ever given solely to Cummins and is part of the appropriations related to the Inflation Reduction Act. Cummins will match the grant with an additional $75 million, making a total investment of $150 million to transform the space and increase production of battery packs, powertrain systems, and other battery-electric vehicle (BEV) components for Accelera by Cummins, the company’s zero-emissions business segment. This expansion is expected to create approximately 250 full-time jobs, with opportunities for existing plant workers to transition to these new positions over time.
“This DOE grant is another step forward in our journey toward a zero-emissions future and expanding battery manufacturing in the United States, strengthening our global position in electrified solutions for commercial markets,” said Amy Davis, President of Accelera by Cummins. “Today’s announcement is a crucial step in advancing electrification and domestic battery supply chains. Partnership with the government, customers, and the industry is essential to accelerating the shift to zero emissions. We are proud of this milestone and to be adding clean tech jobs that will develop the workforce and communities of the future.”
Once the project is completed, CEP will house approximately 350 employees focused on BEV-related work. Nearly half of the 1.42 million sq. ft. facility, which opened in 1926, will be dedicated to zero-emissions manufacturing. The electric powertrains produced at CEP are expected to reduce greenhouse gas emissions by approximately 104 million metric tons of carbon dioxide by 2030.
Through its Destination Zero strategy, Cummins is dedicated to helping customers transition seamlessly to a zero-emissions future. The company offers a variety of solutions to meet customers’ needs, including fuel-agnostic engine platforms powered by advanced diesel, natural gas, and alternate fuels; fully electric and hydrogen fuel cell solutions; and key components. Cummins remains committed to advancing all these solutions.
“Known as Plant One, CEP was Cummins’ first engine plant in our headquarters city of Columbus, Indiana. This grant from the DOE allows us to further broaden the legacy of the site. By expanding the production of batteries and electric vehicle components at CEP, where we also manufacture blocks and heads for our current and next-generation engine-based solutions, we continue to prove our commitment to Destination Zero and dedication to innovation. This strengthens the communities we serve and demonstrates our commitment to environmental stewardship,” said Jennifer Rumsey, Chair and CEO of Cummins. “As a Columbus native, I am especially proud of the significant contribution Cummins is making to the economic and social vibrancy of the local community alongside our broader goals of improving and decarbonizing commercial and industrial applications.”
“As a city, Columbus has benefited from Cummins’ innovative spirit and technology investments for over 100 years,” said Mary Ferdon, Mayor of Columbus. “This expansion by Accelera reinforces the company’s commitment to clean energy and a more sustainable future. Columbus also benefits from the re-investment in our workforce and the conversion of CEP space for advanced technology. We’re excited about this $150 million investment, which moves the company forward in its zero-emissions manufacturing and decarbonization goals, and we’re proud to celebrate this milestone award from the Department of Energy.”
*Emissions reduction of BEV compared to ICE heavy-duty commercial vehicles.