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Hybrid automaker Fisker to buy shuttered GM plant

Hybrid automaker Fisker to buy shuttered GM plant

Budding U.S. hybrid car maker Fisker Automotive will reopen a shuttered General Motors plant in Delaware to build fuel-efficient, plug-in cars, the White House announced Tuesday.
U.S. Vice President Joe Biden said the re-opening of the plant was part of the Obama administration's determination to jumpstart the production of fuel-efficient vehicles in the world's largest economy.
"Thanks to a real commitment by this administration, loans from the Department of Energy, the creativity of U.S. companies and the tenacity of great state partners like Delaware - we're on our way to helping America's auto industry reclaim its top position in the global market," Biden said.
Fisker Automotive said it had signed a letter of intent with Motors Liquidation Co. (MLC), formerly known as General Motors Corp., to purchase the Wilmington plant for US$18 million.
The privately owned company said it would spend an additional US$175 million to refurbish and retool the factory over the next three years.
Funds will come from a conditional loan of US$528.7 million the Energy Department awarded the company in September. The loan is part of a US$25-billion Advanced Technology Vehicle Manufacturing loan program set up by Congress in 2007.
The remaining US$169 million of Fisker's loan will be spent at company sites in California and Michigan.
Fisker will use the Wilmington factory for its NINA project to produce family-oriented, plug-in, electric hybrid cars beginning in late 2012, ramping up to full-capacity production of 75,000 to 100,000 vehicles by 2014. The new hybrid will be driven by an electric motor powered by a lithium-ion battery. When the battery is depleted, the car will be powered by a generator driven by a gasoline engine.


Updated : 2021-04-17 22:29 GMT+08:00