US Ramps Up Production of Grid Batteries
TL/DR –
Energy storage is gaining prominence on the U.S. grid, with the country now having sufficient battery-making factories to meet the increasing demand. Batteries account for about 28% of new power plant capacity built in the U.S. this year. The growth in domestic production was incentivized by President Joe Biden’s Inflation Reduction Act of 2022, encouraging both local battery producers and storage developers to use Made-in-America products.
Battery Production Capabilities Rise in the U.S. to Meet Growing Energy Storage Demand
In an unprecedented shift, the United States is now equipped with a substantial number of factories capable of producing batteries to meet the rapidly growing demand for energy storage. This is largely seen as a response to the increasing influence of batteries on the U.S. power grid.
Previously, the U.S. depended heavily on battery imports mainly from China. However, there is now an increasing domestic production of these energy storage systems, indicating a remarkable leap in the nation’s manufacturing capabilities.
The pivotal role of batteries in scaling up renewable energy production has been well-acknowledged. Their importance has grown even more as leaders in AI seek power sources that can be quickly constructed to fuel their rapidly expanding data centers.
The surge in demand is evident as batteries are projected to represent around 28% of the new power plant capacity built in the U.S. this year. For the first time, the U.S. Energy Storage Coalition – a leading industry group – reports that the nation is poised to produce sufficient grid batteries domestically to satisfy this escalating demand.
The trend of bringing production back to the U.S., also known as ‘onshoring’, gained momentum when President Joe Biden signed the Inflation Reduction Act in 2022. This Act incentivized both American battery manufacturers and storage developers who utilize domestically-made products.
For more in-depth coverage on this topic, view Julian Spector’s report on Canary Media, published on March 23, 2026.
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