Amprius secures $75 million grant for American high-energy density battery production

Amprius Technologies, a leader in high-performance batteries, has been awarded a grant of up to $75 million from the U.S. Department of War (DoW) to retrofit an existing domestic production line from EV batteries to high-energy density cells for unmanned aerial systems.

The grant was awarded through the DoW's Industrial Base Analysis and Sustainment (IBAS) programme, which funds domestic manufacturing capabilities critical to national defence. The primary objective of this award is to establish high-volume, commercially viable U.S. manufacturing for advanced battery systems that power unmanned aerial systems - Group 1, 2, and 3 drones.

Amprius plans to use the funds to reconfigure an existing U.S.-based electric vehicle battery production line operated by a major South Korean manufacturer. At completion, planned for early 2028, the line is expected to have the capacity to produce 12 million Amprius cells annually. These cells are intended to meet the domestic sourcing requirements of the National Defense Authorization Act (NDAA). The conversion project is expected to cost approximately $100 million, including in-kind investments from Amprius and its South Korean partner.

The modified line expands Amprius' existing contract manufacturing relationships and significantly increases the ability of the Company to provide NDAA-compliant pouch cells for key customers at scale. This project adds to the Company's global manufacturing network in China, South Korea, and the United States.

"This DoW grant is intended to establish a primary source of domestic, NDAA-compliant battery production," said Amprius CEO Tom Stepien. "Our technology, combined with the U.S. manufacturing prowess of our South Korean manufacturing partner, positions us to accelerate adoption of standardized, high-performance pouch cells in a fast-growing market."