Michigan’s Multi-Billion Steel Project Linked To Tesla, General Motors

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DEC 15 2017 BY STEVEN LOVEDAY 14

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What plans could Tesla and General Motors have related to investment in a new steel-making factory in Michigan? (Image Credit: flickr via Craig Zimmerman)

Previously hidden $7 billion steel-making factory application process reveals a verified link to clean energy and vehicles, with mention of Tesla and General Motors.

The project has been in the filing and application stages to get approval from the state of Michigan to build something referred to as “Project Tim.” It seems in its secretive efforts, New Steel International Inc. took its codename from the Apple playbook.

Tesla Model 3

Tesla Model 3 alloy breakdown

Until now, there hasn’t been much in the way of details surrounding the nature of the project or who’s involved. However, New Steel International applied for $7 billion in federal loan money through the U.S. Department of Energy. More specifically, the project is seeking funding as part of the agency’s Advanced Technology Vehicles Manufacturing Loan Program.

Crain’s reported that New Steel CEO John Schultes may have been trying to secure investments from a myriad of companies, including Tesla, General Motors, and DTE Energy. He did admit that his company is one of several pushing to purchase 1,000 acres of farmland in Durand along Interstate 69. However, Schulte continued:

“It’s a little too early to really go public with things. There are a lot of companies trying to make this happen.”

Crain’s asked the CEO specifically if Tesla, GM, or DTE are involved. Schulte wouldn’t elaborate, although he craftily replied:

“Whoever is telling you all of this is certainly well informed, but I’m not going to confirm or deny it.”

Tesla is using more steel these days due to the different mix of alloys d to make the Model 3 not only safe but more cost-effective. It can be assumed that since the automaker’s upcoming Model Y will be built on the same platform as the Model 3, and should be a very similar vehicle, this mix of alloys will hold true for that vehicle as well.

GM and DTE are local to the area, so it would come as no surprise if both companies are involved. This makes perfect sense since the plan involves energy and vehicles, and Schulte mentioned that it’s “a lot of companies,” while refusing to deny the involvement of those mentioned by Crain’s.

Sources: Crain’s Detroit Business via Electrek

Categories: Chevrolet, General, Tesla

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14 Comments on "Michigan’s Multi-Billion Steel Project Linked To Tesla, General Motors"

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Wow! Steel production returning to the USA?? I thought I would never see the day. I hope this is true and I hope it works out.

I would love to see a big “T” on the outside of the foundry.

Better spell it all the way out as Tesla or you know who will take credit for it.

Poor Chinese quality helped make that happen.

The U.S. switched to specialty steel mini mills, this sounds like a major program.

Elon Musk really is Tony Stark. Black Sabbath’s ‘Iron Man’ is playing in my head.

Thanks so very much for that!

Seeking all aluminum electric cars for maximum range per charge . . .

It would be great to see a resurgence of high-volume steel making in the USA. If Tesla is a possible major customer for that market, then hopefully Tesla can use that to help leverage repeal of Michigan State laws which are keeping Tesla so firmly out of the State that they aren’t even allowed to open a service center there!

I’d love to see the old USS grounds near me come roaring back to life, except for all the pollution it generated. It would be good to see someone come up with a way to make steel cleanly here.

The power plant they are going to make is *supposed* to be green. And they are going to generate more power than they use, so they will help supply the local grid.

It’s supposed to bring in 600+ jobs to the area. I hope it happens. Durand could use it, and it’s a major railway hub, so they can ship everywhere.

Tearing up 1000 acres of farm land doesn’t sound go good to me. Isn’t there enough shuttered mills/factories that can be torn down or re-purposed for this project?