Archer Aviation awarded Californian tax break to expand battery manufacturing
US eVTOL developer Archer Aviation has received approval from the California Alternative Energy and Advanced Transportation Financing Authority (CAEATFA) for its $117 million project covering the planned expansion of its advanced manufacturing facilities in the State of California, including the ramp of its advanced electric powertrain facility as it readies for commercialisation.
The CAEATFA sales and use tax exclusion is expected to result in $10 million in benefit to Archer over the next few years.
In May of this year, Archer announced the completion of installation of its high-volume battery pack manufacturing line at its facility in San Jose, California. Archer’s facility is designed for high-volume production from day one with the capability of producing up to 15,000 of Archer’s proprietary battery packs per year at full capacity. This facility will produce the battery packs needed to support the ramp up of Archer’s electric aircraft production planned for 2025 and beyond.
“We are proud to receive this award from CAEATFA and represent the cutting-edge of transportation innovation that the State of California is backing,” said Archer founder and CEO, Adam Goldstein. “As a leader in the electrification of aviation, we are working hard to help California meet its most ambitious climate goals.”
Archer was selected after a highly competitive application process that looked closely at the project’s impact on the environment, its ability to create jobs and stimulate economic activity, and its categorisation as a strategic emerging industry.
“America's global competitiveness is strongest when we embrace innovation into our daily lives,” said Congressman Eric Swalwell. “I applaud Archer’s leadership to draw more cutting-edge businesses to California while creating more jobs for American workers. Archer's advanced electric powertrain solutions will help power the future of sustainable aviation. I look forward to seeing the next groundbreaking discoveries from them here in our State.”
Archer’s goal is to transform urban travel, replacing 60–90-minute commutes by car with estimated 10–20-minute electric air taxi flights that are safe, sustainable, low noise, and cost-competitive with ground transportation. Archer’s Midnight is a piloted, four-passenger aircraft designed to perform rapid back-to-back flights with minimal charging time between flights.
Consider a free digital subscription
If you find this article informative, consider subscribing digitally to Aerospace Manufacturing for free. Keep up to date with the latest industry news in your inbox as well as being the first to receive our magazine in digital form.
