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Medium- and Heavy-Duty Vehicles Eligible for Advanced Technology Vehicles Manufacturing Loan Program

Learn more about how the Bipartisan Infrastructure Law extends Advanced Technology Vehicles Manufacturing program eligibility for certain medium- and heavy-duty vehicles as well as for other transportation modes.

Loan Programs Office

October 13, 2022
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Text-centric graphic announcing expanded eligibility for LPO's ATVM program.

Through its Advanced Technology Vehicles Manufacturing (ATVM) direct loan program, DOE’s Loan Programs Office (LPO) provides access to billions of dollars in loans for projects that manufacture advanced technology vehicles and qualifying components.  

In addition to light-duty and ultra-efficient vehicles manufacturing facilities, which have long been eligible for consideration by the ATVM program, the Bipartisan Infrastructure Law (BIL) has recently extended that eligibility to certain medium- and heavy-duty vehicles (MHDV) as well as for other transportation modes. The Inflation Reduction Act’s appropriation of $3 billion in credit subsidy to support new ATVM loans unlocks BIL-expanded advanced technology vehicle modes, including MHDVs, for the first time. We estimate that this amount allows LPO to provide an additional $40 billion in new ATVM loans to eligible advanced technology vehicle manufacturing projects. 

LPO will evaluate MHDV projects under the existing ATVM application process based on statutory criteria for eligible vehicles. As stated in the BIL, MHDV must meet the following criteria

“a medium duty vehicle or a heavy duty vehicle that exceeds 125 percent of the greenhouse gas emissions and fuel efficiency standards established by the final rule of the Environmental Protection Agency entitled ‘Greenhouse Gas Emissions and Fuel Efficiency Standards for Medium- and Heavy-Duty Engines and Vehicles-Phase 2’ (81 Fed. Reg. 73478 (October 25, 2016)”

LPO encourages potential applicants for MHDV projects to request a pre-application consultation. Pre-application consultations allow potential applicants to begin a dialogue directly with LPO staff to help LPO learn more about the project and to help ensure that applicants fully understand DOE's requirements and processes.  

Next Steps with Other BIL Modes 

In addition to MHDV projects, the BIL expanded ATVM’s ability to issue direct loans beyond light-duty vehicles to support manufacturing facilities for other advanced technology vehicles, specifically locomotives, maritime vessels, aviation, and hyperloop. The BIL required these advanced technology vehicle modes to emit, under any possible operational mode or condition, low- or zero-exhaust emissions of greenhouse gases; however, the BIL did not detail a specific emissions or fuel efficiency standard for these modes. Moving forward, LPO is proceeding to further define the eligibility requirements for these modes and will release guidance on how the program will evaluate projects under those eligible modes soon.  

At this time, we encourage potential applicants to connect with our Office of Business Development for a no-fee, no-commitment, pre-application consultation prior to submitting a formal application. You may request a pre-application consultation by emailing [email protected].

Tags:
  • Bipartisan Infrastructure Law
  • Inflation Reduction Act
  • Electric Vehicles
  • Advanced Manufacturing Processes
  • Sustainable Transportation