XALT Energy lays off 100 employees - WNEM TV 5

XALT Energy lays off 100 employees

Posted: Updated:
MIDLAND, MI (WNEM) -

New Chinese government regulations on vehicle battery manufacturers has halted production at a Mid-Michigan facility, leading to employee layoffs.

XALT Energy in Midland announced more than 100 employee layoffs on Wednesday.

The facility produces battery cells for two key customers in China, an electric passenger bus manufacturer and an electric motor and drive train manufacturer.

Board Chairman Dennis Townsend said the new regulations were a surprise to the company.

“For more than a year, we have been ramping up for the production of battery cells for China. Our Chinese business would have had up operating at 100-percent capacity by mid-2017,” Townsend said.

Under the new policy, China’s Ministry of Industry and Information Technology created a list of manufacturers allowed to receive incentives for producing batteries used in electric vehicles.

As a United States manufacturer, XALT Energy was not included on the list, as well as several other major global battery suppliers.

Read the press release below:

Copyright 2016 WNEM (Meredith Corporation). All rights reserved. 

Powered by Frankly
WNEM
Powered by WorldNow CNN
All content © 2017, WNEM; Saginaw, MI. (A Meredith Corporation Station) . All Rights Reserved.
For more information on this site, please read our Privacy Policy, and Terms of Service, and Ad Choices.