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Copper prices are on the rise, thanks to China's growing factory activity
Copper prices rose on Wednesday, as data revealed that Chinese factory activity had returned to growth. However, trading was subdued due to a holiday week for 'the top metals consumer. The benchmark three-month copper price on 'the?London Metal Exchange' rose by 0.23% at $14,471 per metric ton as of 0330 GMT. Meanwhile, the most traded November copper contract in Shanghai Futures Exchange gained by 0.21%, to 109,530 Yuan ($16340.20) per ton. This is expected to finish a week that will be shortened due to the upcoming long holiday, 0.52% down. China's official purchasing managers' index increased to 50.1 in September from 49.8 a month earlier. A RatingDog private survey revealed that factory activity?expanded faster than expected: its PMI measurement rose to a 5-month high of 52.1, from 51.5. The trading was relatively quiet before China's National Day. SHFE will be closed from Thursday and reopen October 8. The physical copper demand has also been reduced heading into the holiday break. The domestic premium The price of a ton of copper continued to fall from its peak on Tuesday, to 1,050 Yuan. The Yangshan copper price premium is still high The price of imported materials in China, which is a measure of the appetite for these materials by Chinese consumers, has risen?slightly' to $119 per ton. The US dollar was stable, headed for a 2% rise in the next month, supported by higher US yields. The stronger the dollar, the more expensive metals are for holders of other currencies. Brent crude also remained steady, hovering at $100 per barrel. This kept inflation fears and expectations of another rate increase by the US Federal Reserve alive. Nickel gained 0.23%. Lead was flat. Aluminium fell 0.35% on the SHFE. Zinc dropped 0.26%. Lead declined 0.12%. Nickel dropped 1.00%. Tin was flat.
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US Trade chief considers trade deal tariff caps for excess capacity probe
US Trade Representative Jamieson Greer stated on Tuesday that the Trump administration would take into account tariff caps negotiated in trade agreements with countries when weighing potential 'new duties' as part of an investigation on excessive industrial capacity. Greer told reporters that he didn't want to make any assumptions about the results of a Section 301 investigation, which is expected to be focused on excess capacity within?China and key trading partners. Greer said: "I'm not going to speak before the report and proposed actions, but let me say that we value these deals.?And we will definitely take them into consideration when we look at any outcome of this report." Greer told a group of CEOs and Trade Ministers that many of these deals actually go a long ways to mitigate the effects of any excess capacity in those countries. The Trump administration used its G20 presidency this year to bring attention to China’s excessive production capacity and overreliance on exports as a growth driver. All G20 countries, except China, agreed to take?actions in response to such policies at the G20 Finance Ministers Meeting held in Asheville (North Carolina) at the start of September. Maros Sefcovic, the European Union's trade chief, told CEO roundtable participants on Tuesday that he was pleased with the Trump administration's emphasis on combating excess industrial capacities at the G20 summit. Sefcovic said that the EU is pushing for reforms in excess capacity within the G20 framework as well as at the World Trade Organization. Sefcovic also stated that the EU is working to strengthen cooperation with the US and other allied countries on key minerals in order to secure supply chain and avoid the "weaponization". Production of these materials, which are currently dominated mainly by China, has been a priority for the EU.
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Stocks fall, US 2-year yield drops after Fed's Williams cools down rate hike bets
Investors reduced their bets that the Federal Reserve will raise interest rates next month after comments made by Fed Bank of New York president John Williams. Major stock indexes also eased, as yields for longer-dated bonds remained near multi-decade-highs. Williams' comments and the optimism over AI lab Anthropic’s plan to go public tempered the stock market's weakness. Williams stated that he does not see "urgency" in further action following the US central bank's rate hike earlier this month. Based on the pricing of Fed Funds futures contracts traders now expect a 50% chance of a quarter-point increase at the Fed's next meeting in October. This is down from 70% earlier in day. Williams, who believes that a single rate hike will occur by the end of the year is what has influenced the price of short-term rate contracts. Investors remained concerned about the rate outlook, even though the 30-year US Treasury Bond had earlier reached its highest level since 2002. The'monthly US jobs data is also due this week. Investors are getting ready for the PCE tomorrow. "If we see an acceleration in inflation, then I believe that this will cement a rate increase in October," said Peter Cardillo. Chief market economist at Spartan Capital Securities, New York. Bond yields are rising due to concerns about inflation and higher oil prices. Fed increased interest rates this month, the first time they have done so since 2023, to combat inflation. Investors digested other Fed officials' comments?on Tuesday. Chicago Fed President Austan G. Goolsbee said that allowing the inflation to remain above the Fed target for five-and-a half years was "playing with Fire." He noted that the Fed might need to respond to an supply shock which has long lasting effects. Data showed that US consumer confidence fell to its lowest level in over 12 years in September. Households expect both the business environment and the labor market will weaken in the next six-month period. The yield on the 2-year bond, which moves typically in line with expectations of interest rates for the Fed was down 3.51 basis point to 4.889% last week, after previously touching 4.9596% - its highest level since May 2024. The yield on US benchmark 10-year notes rose 1.32 basis points to 5.255% after previously reaching 5.2932%. This was its highest level since June 2007. After reaching its highest level since the morning of June 2002, the 30-year bond rate rose by 3 basis points to 5,592%. The Dow Jones Industrial Average dropped?131.59, or 0.26 percent, to 51349.92. The S&P 500 declined 12.85 points or 0.17% to 7,670.84 while the Nasdaq Composite lost 22.84 points or 0.08% to 26,797.54. Anthropic’s IPO prospectus revealed that the AI lab had grown rapidly in the past year, but also suffered larger losses. The company aims to reach a valuation of $2 trillion or more, which could set a new benchmark for Wall Street's assessment of AI leaders. MSCI's global index of stocks fell by 3.41 points or 0.30% to 1,135.86. The pan-European STOXX 600 fell by 0.09%. The yields on French 10-year debt were near their 2008 highs of 4.74%, and they were expected to rise the most in a single month since 2022. The sovereign yield is a key anchor for the global markets. It's a price reference for riskier stocks, and it's a benchmark when it comes to mortgages and corporate borrowing. Rates that are higher put pressure on the budgets of government, corporations and households. OIL FALLS Investors focused on signs that crude exports to the Middle East were recovering. Oil prices have risen despite the fact that hopes of a US-Iran deal on the horizon are fading. US President Donald Trump has said that he offered Iran nothing in order to end the conflict. He rejected media reports citing?US officials who claimed he would be willing to ease sanctions or?release funds frozen for "concrete steps" regarding Iran's nuke program. US crude futures declined $3.22, to settle at $89.38 per barrel. Brent futures fell by $2.69, to settle at $100.59. The euro rose 0.01% to $1.1341 in the last currency update. The dollar gained 0.03% against the Japanese yen to reach 157.32. The Australian dollar was almost flat against the greenback, at $0.6984. Australia's central banks raised rates earlier to the highest level in 15 years. Spot gold increased 1.46%, to $4174.26 per ounce.
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Talen Energy names Terry Nutt as CEO and expands its share repurchase programs through 2028
Talen Energy announced on Tuesday that it has named President Terry Nutt its new chief executive officer. This will take effect January 1, and the company also expanded its share repurchase authority through 2028. Nutt succeeds Mac McFarland who will continue to serve as CEO, a member of the board and senior advisor until his retirement in march 2027. Talen is undergoing a leadership transition as it aims to capitalize on the growing demand for electricity from data centers and artificial intelligence, while also returning cash to its shareholders via a large share repurchase program. Nutt will be joining the board as soon as he takes over the role of CEO. He has been 'Talen’s president' since December and was previously the chief financial officer. The independent power producer increased its remaining capacity in its share repurchase programs to $3 billion by December 31, 2028 and entered into $1.5 Billion of accelerated share purchase agreements. By the end of 2027, it is expected that Talen will have repurchased more than 10% its outstanding shares. The company stated that it would 'primarily' fund the accelerated repurchases by'monetizing future capacity revenues from PJM, which is the largest US power grid operator. Talen predicted about $4 billion of adjusted free cash flow in the second half 2026 to the end 2028.
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First visit by the UAE Vice President to Saudi Arabia since the rift
Sheikh Mansour bin Zayed Al Nahyan, UAE Vice President, visited Saudi Arabia on Tuesday. He met with Crown Prince Mohammed bin Salman of Saudi Arabia and the Kingdom's Defence Minister. This was the first official visit by a senior UAE official to the kingdom since the Gulf Powers fell into a deep split last year. Saudi Arabia's Defence Minister, Prince Khalid bin Salman invited the Saudi ambassador to visit the Kingdom. Riyadh is under increasing pressure by the Iran-backed Houthis who have been firing missiles and drones for weeks at the kingdom. Saudi Arabia 'has been trying to rally international assistance to face the Houthis. But it wasn't immediately clear if this request extended to UAE. Saudi Arabia was once the main regional partner of the United Arab Emirates in the war against Houthis. According to a Saudi Defence Ministry post on X, Sheikh Mansour discussed with Prince Khalid topics of mutual interest and ways to improve cooperation and coordination between both countries. In a separate meeting on Tuesday with Saudi Crown Prince Mohammed bin Salman, Sheikh Mansour reviewed "fraternal relationships" between the countries and the developments in the area, according to the Saudi state media agency. In?December, the UAE and Saudi Arabia brought their years-long differences over everything from geopolitics to energy policy to light when an advance by a UAE backed southern Yemeni rebel group brought them close to Saudi border. Saudi Arabia has condemned the UAE's involvement in Yemen and conducted an airstrike against a UAE-linked weapon shipment at Mukalla port. The UAE announced that it had withdrawn its entire force from Yemen, but tensions remain. Yemen has been in a 12-year civil war ever since the Houthis took over the capital Sanaa and prompted a Saudi-led intervention.
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After soaking Baja California Sur, Hurricane Polo hits Sonora in northwest Mexico
Hurricane 'Polo' made its second landfall in Mexico on the northwestern Pacific Coast on Tuesday, after flooding the southern Baja California Peninsula. Landfall occurred near the port of Guaymas, on the Sea of Cortez. Sonora State. Emergency evacuations were ordered by state authorities in several southern municipalities, including Guaymas and Empalme. Officials reported that 543 people were huddled in shelters when the storm hit. The US National Hurricane Center reports that the maximum sustained winds were around 120 km/h (75 mph). In its bulletin, the NHC stated that "rapid weakening" is to be expected as "the center of Polo" moves further inland. Private forecaster AccuWeather warned that the remnants of the hurricane, which are moisture-laden, could cause a flood in the US Southwest and Plains. Damage to Property but No Casualties Polo, a stronger Category 2 storm that smashed trees and turned streets into rivers, pounded the Baja California Peninsula earlier. According to Baja California Sur Governor Victor Manuel Castro, no deaths were caused by the storm. Storms are expected to drop 4 to 6 inches (10-15 cm) of rain across the southern and central parts of Sonora, with maximum amounts of 8?inches in isolated areas. According to the NHC, Baja California Sur may see another 1 to 2 inches in rain with the potential for life-threatening floods and mudslides. "At my house, we secured everything. We were very prepared. Bertha Lopez of Loreto, Baja California Sur said, "We expected it to be stronger, but thank God it wasn't as disastrous." Laura Velazquez of Mexico's Civil Protection Agency said that nearly 700 people took refuge in emergency shelters and would be returning home throughout the day. Mexico's?"Secretariat of the Navy" posted on X that a ship had brought 2,000 food hampers, 8,000 liters?? of drinking water, and other items to the area.
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The US finalizes a sharply lower vehicle fuel efficiency standard
Officials said that the?US?Transportation department will on Monday finalize a sharply lower vehicle's fuel economy standard through 2031. This is reversing an effort by the Biden Administration to force automakers into building more electric vehicles. Donald Trump announced that he has approved new fuel efficiency standards for cars, trucks and buses. He said this will reduce the cost of new vehicles. Sean Duffy, Transportation Secretary, said that "a major victory is coming for America's automobile workers on Monday." According to the department's estimates, new standards would reduce vehicle costs but increase fuel consumption. Trump's move comes at a time when American motorists are struggling with steeply higher fuel costs since the U.S. - Israel war began against Iran in February. The government under Democratic President Joe Biden 'tried to push automakers into building more electric vehicles in order to meet the rising fuel efficiency standards. Biden increased the required fuel efficiency of cars by 8% per year for model years 2024-2025, 10% per year for 2026, and 2% each year from 2027-2031. In December, the Trump administration proposed to retroactively reduce the fuel efficiency standard for 2022 model years and then raise it between 0.25 and 0.5% per year through?2031. The Transportation Department proposed that fleetwide fuel efficiency would average 34.5 miles per gallon (14,7 km per liter), down from the 50.4 miles per galon (21.4km per liter), under Biden. It estimated that its proposal would reduce average new vehicle prices by $930 per vehicle. The department stated that it would increase fuel consumption by 100 billion gallons by 2050. Fuel spending would also rise by $185 billion, and carbon dioxide emissions about 5%. Trump's decision?will allow automakers to offer consumers less-efficient vehicles. Pete Buttigieg who was the Transportation Department head under Biden said that lowering?standards would accelerate what Trump has already done: giving the future of clean tech to China, and forcing Americans to spend more money at the pump. Biden's focus was on reducing US greenhouse gas emissions, fossil fuel usage and accelerating the transition to clean energy. Clean-energy manufacturing and technology is a key component of the US's global leadership.
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Falling oil prices provide support for bonds in trouble
US Treasury yields stabilized on Friday, with benchmark 10-year note yields moving lower for the day as oil prices fell, after having earlier reached new'multi-decade highs', and traders priced in more Federal Reserve interest rate increases. The AI industry continued to be a source of optimism, which boosted the stock market. The oil price fell by about 3% as traders grew more hopeful of a possible truce between Iran and the US. However, they were also concerned that the Houthi fighters' increased attacks on Saudi Arabia could cause a disruption in the Middle Eastern producers supply. The US Treasury yields are at their highest level since the financial crises, mainly due to persistent concerns about inflation. While the latest signs of 'diplomatic progress' in the Middle East may have temporarily eased geopolitical worries, the market is still unconvinced of the prospect of a normalization of the global energy supply," said Ian Lyngen, BMO Capital Markets head of US rates. The bond market is experiencing a daily downward trend. The benchmark 10-year Treasury Yield fell 0.37 basis point to 5.158% after earlier reaching 5.2297% - the highest since 2007. The 30-year bond rate rose by 2.63 basis points, to 5.4883%. It had previously reached 5.5319%. The ICE BofA MOVE Index is a measure for?bond market volatility. It has risen by about 30% in the last week. This is the biggest increase since April 2025's Liberation Day tariff chaos. A survey released on Friday showed that US consumer sentiment fell to a new low of four months in September, amid fears?that rising prices would reduce the purchasing power of households. Japan's 10-year bonds yield reached 3.121% elsewhere, a record level last seen in 1996. Five of the most influential central bankers in the Group of 10 have increased rates this month. The rest have signaled a pending hike or warned of increasing inflation. STOCKS STAY BOUGANT The stock market has remained resilient despite bond market turmoil. US stocks have rallied on AI-driven optimism, and hope for improved Middle East oil supplies. The Dow Jones Industrial Average increased by 0.93%. The S&P 500 rose by 0.51%, and the Nasdaq Composite grew by 0.48%. Microsoft's 2026 gain jumped to 7% after it unveiled new features in its Copilot application, such as a coding app and an AI agent that is always on. The MSCI?gauge for stocks around the world rose by 0.53%. The pan-European STOXX 600 rose by 0.35%. US President Donald Trump hosted Xi Jinping, the Chinese President, at 'the White House' on Thursday. The lavish summit was laden with symbolism, but lacking in substance. There were no signs of progress on thorny topics such as AI and trade, Taiwan, or even the 'war with Iran. DOLLAR OPTIMISM Analysts expect further Fed tightening to keep the US currency strong. Morgan Stanley analysts, led by David S. Adams, said in a report on Friday that they expect the dollar to remain strong through 2027. They cited?favorable rate differentials against peers, robust US economic growth and heightened political risks in Europe. The euro rose 0.14% to $1.1395. The dollar fell 1.01% against the Japanese yen to 157.22. Satsuki Katayama, Japan's Finance minister, said that Trump expressed concern over the yen during a meeting with Japanese Prime Minister Sanae Takayichi this week. Spot gold increased 0.31%, to $4.291.25 per ounce.
Special Report-How Trump's War on EVs derail America's Auto-factory Revival
Three men were chatting in the local United Auto Workers' hall of Lordstown on a Friday afternoon, May. Normaly, they would be working at the battery plant just a few minutes away. They had been unemployed for the entire year.
Last fall, the factory owned by General Motors in South Korea and LG Energy Solution announced that it would stop production in January due to slow sales of electric vehicles. Ultium Cells' joint venture let go 480 workers indefinitely and informed the remaining 850 that they would not be needed for several months.
This announcement comes just a few short weeks after President Donald Trump and the Republican-controlled Congress killed a $7.500 tax credit intended to boost consumer demand for electric vehicles, causing U.S. EVs sales to plummet. Steve Baier, a worker who was passing the time in the union hall, described the layoffs as a "sobering disappointment" after the initial bursts of optimism that accompanied the opening of the factory four years ago.
Baier stated that "this plant is important for so many people." "It's devastating."
The gleaming white battery plant, worth $2.3 billion and a distance of an hour from Cleveland, towers over the interstate. The auto industry made its biggest investment spree in decades. The U.S. automotive industry launched a wave of domestic manufacturing between 2019 and 2024, starting with Trump's first administration and continuing through Biden's.
The American auto industry was expected to recover after years of decline with the spending spree. To break free from China's EVs, and supply chains, the U.S. had to have its own EV and battery manufacturing base. Anti-China policies - initiated during Trump's first tenure and continued by Joe Biden - as well as federal EV subsidies in order to support the market, ensured that America would need U.S. workers and plants for its EV transition.
Since Trump's return to office, a?array? of policies affecting the automotive industry, immigration, trade, and environmental protection have undermined employment and factory projects in Lordstown, and throughout America's heartland. Atlas Public Policy's analysis of data shows that cancellations of EV and battery projects have snowballed. This has resulted in the loss or threat of tens thousands of jobs.
Trump's stated goal to create auto-manufacturing employment - the core of his economic vision - is undermined by these policies. Analysts say that these policies are pushing the United States behind Europe and China in developing electric cars.
Fallout is mainly felt in a swath from Georgia to Indiana that has attracted so much EV investment, it was nicknamed the Battery Belt. According to an analysis of Atlas data that tracked activity between 2015 and August 24, this year, 87% of announced EV-related investment was in states Trump won by 2024.
Even before Trump's policies frozen the market, U.S. EV investments had slowed. Automakers were not able to sell as many electric cars as they had anticipated, and some consumers were turned off by the high price tags and range anxiety. Auto executives cited Trump’s policies when they decided to cancel massive investments in battery and EV factories. Ford CEO Jim Farley stated that the drop in EV sales after the tax credits expired last September was "really the motivation for us to take the decision" regarding a massive writedown on EV investments.
Kush Desai, the White House spokesman, did not directly answer questions about Trump's anti EV policies and their impact on employment in auto manufacturing, which has decreased since Trump became president. He blamed the Biden Administration for creating "artificial" demand for EVs through subsidies. Trump is "slashing redtape, renegotiating trade deals that are broken, and cutting taxes" to secure trillions of dollars in new manufacturing investment, including billions by domestic and foreign automakers, Desai added.
Biden's spokesperson declined to comment.
A BOOM REVERSED
According to the Center for Automotive Research which tracked announced project, between 2019 and 2024 U.S. auto manufacturing investments will have more than doubled compared to the previous six-year period.
Under Biden's leadership, the electric transition was partly driven through carrot-andstick measures. These included stricter fuel economy rules for gasoline-powered cars to reduce carbon emissions and billions of dollars in subsidies for battery manufacturing. Automakers were also pushed to take action by market forces. Tesla's stock market valuation was nearing $1 trillion, and startups such as Rivian or China's NIO attracted investors and customers. Automakers pledged to invest heavily in electric cars and battery technology one by one.
James Rubenstein is a professor of geography emeritus at Miami University of Ohio. He said that unlike previous U.S. auto factory booms, the EV manufacturing industry promised a deeper base of industrial production and an expanded supply chain. This would require a change in the type of factories required. For example, it wasn't feasible to renovate an engine factory to make batteries. It was necessary to make entirely new capital investments.
Atlas data shows that last year nearly $20 billion in projects were cancelled. The Atlas data show that fresh investment announcements were only $6.5 billion in the last year, just 29% less than the previous year and a fraction the $55 billion pledged by the industry at its peak.
Rubenstein stated that "Electrification has been a major disruptor in our lives." He said that Trump's rollbacks "push" it back.
Atlas data shows that the projects cancelled between January 2025 to August this year promised 27,000 jobs. This is likely an underestimate, as some of the project announcements in the data did not include job creation estimates. The total excludes projects which were scaled down rather than cancelled, as well as those in which the EV component of a larger investment could not be isolated.
The analysis revealed that four-fifths (or about 45%) of the cancelled investments were located in states with a red color.
Since Trump's return to office, auto-factory investment in gasoline vehicles has increased. This may offset some of these losses. The Atlas?data do not quantify the jobs and investments which may be created by converting canceled EV project to traditional automotive factories. Some automakers have moved foreign factory work into U.S. factories with spare capacity in order to avoid Trump's Tariffs.
To date, however, neither the tariffs imposed by the administration nor automakers' efforts to retool idle plant space have resulted in a net increase in jobs. Federal data shows that since January 2025, U.S. jobs in the auto manufacturing industry have decreased by 1.3%. In August, they were at 963,000.
The president, along with other Republicans, have hailed their anti-EV policy as a victory of consumer choice. Trump wanted to reverse the rules that he claimed would force Americans into buying electric cars or what he called an "EV mandate". Under Biden, automakers were required to sell roughly half their cars as EVs in early 2030s despite there being no imminent ban on combustion engine cars. Trump has repeatedly urged the expansion of U.S. oil and gas production.
The automakers are offering some hope to the laid-off workers of battery plants, for reasons unrelated to EV demand or Trump’s auto policy. There is a growing appetite for energy storage batteries due to the boom in AI- and data-center-construction. Ford, GM, and their joint venture partners have stated that they intend to convert a portion of their underused EV plants to storage.
It can still take automakers months or even years to convert plants that make EV batteries into those for storage. This is because the chemistry of these batteries often differs. The demand for storage batteries will not be enough to fill the unused factory space for EVs.
WORKERS INDUCED IN "VOLTAGE VALLEY"
Lordstown is used to the ups and downs of the?car business. The GM assembly plant, which was a major economic engine for the area for over 50 years before closing in 2019, is no longer there. This area has been a popular campaign stop for many politicians, including Trump, Biden and Barack Obama. Hillary Clinton, John McCain, and Mike Pence have all visited the region, and offered their recipes to revive jobs and prosperity.
A newly elected Trump told a crowd at a rally in 2017, just a few miles from Lordstown that manufacturing jobs would return: "Don't Move." After a period of declining employment at GM, Trump publicly harrassed CEO Mary Barra about the plan to close their assembly plant. Three people who were involved in the decision said that this was a factor in GM's decision.
The GM-LG Battery Factory opened in 2022 within a few miles of the closed vehicle factory. Around 1,300 people were hired to make battery cells for electric vehicles. The area was renamed "Voltage Valley", instead of the historic Steel Valley name.
Baier explained that by 2025 employees would be spending more time cleaning their desks than manufacturing battery cells. Ultium, a joint venture between GM and LG, had announced a six-month return to work timeline when the layoffs were announced in October. This was due to the weak demand for EVs after the tax credit expired.
Ultium has brought back 700 factory workers who were laid off in the last few weeks and began production of battery cells in mid-August. The company reported that about 600 workers are still on an indefinite layoff.
In their statements to GM and Ultium, neither company directly addressed the impact that Trump's policies would have on their EV investments. GM stated that it was "continuing to progress EVs", and it still sells a dozen EVs in the U.S. LG acknowledged a decline in EV sales following the expiration subsidies, but it said electrification is a long-term goal.
Many EV projects and battery factories sprang in places Trump promised to revitalize with factory investment.
Two stark white structures rise from the surrounding farmland in Glendale, Kentucky. Ford, SK On and BlueOval SK, Ford's former partners in South Korea, built the battery plants early this decade.
The buildings are the result of two decades of hard work by Rick Games, 72. He was the former director of the Elizabethtown-Hardin County Industrial Foundation. This economic development agency has worked to promote the site for dozens of potential buyers, including Hyundai.
Automakers' interest in the farmland, located an hour south from Louisville and with easy access to highways and electricity, reached fever pitch by 2020. Games said, "Good God, they were pouring out of the woodwork."
Ford and SK have agreed to invest $5,8 billion in 2021 on a site that is the equivalent of 1,100 'football fields. This was the biggest investment ever made in Kentucky, with a promise of 5,000 new job opportunities. Ford also included it in its largest-ever manufacturing project. It was combined with a Tennessee factory, 300 miles away.
Officials in Glendale, a city of 2,000 people, and its surrounding areas raced to prepare the area for a new influx of over 20,000 residents. The roads would be widened in order to accommodate the construction trucks. The developers planned to build thousands of houses.
Ford and SK went on a hiring spree. Bill Wilmoth recently returned to the area. He began working at the Glendale Battery Plant in June 2024 and earned $21 per hour.
Wilmoth, along with other workers, were asked to stay at home in mid-December 2025. He watched a video from management that announced the layoff of about 1,500 people. "My heart fell a little," he said.
Ford did not provide any information in response to questions about the impact that the Trump administration’s policies changes will have on its EV production. Ford said that it will hire 2,100 people in Glendale, less than half of the original workforce estimate to manufacture energy-storage battery units beginning late 2027.
Ford says it is "prioritizing affordability and choice" by investing in gas-engine and hybrid models. Ford said that 1,500 new factory jobs were added in the last year, ending in July. It also plans to launch its new electric pickup truck called Fathom at the Louisville plant.
SK On representatives and BlueOval SK, which is now defunct, declined to comment on the Glendale job losses.
TARIFFS AND DEPORTATIONS WORKFORCE - WORKBATTERY BATTERY
Auto executives cite the elimination of the $7,500 credit as the most significant policy change that has slowed the EV industry's momentum. This was just one of a series of Trump's pro-fossil fuel measures that has?crippled EVs.
The administration also weakened tailpipe-emissions regulations and Congress frozen fines automakers had been paying for years because they failed to meet federal fuel-efficiency requirements. California and the Trump administration have been fighting in court about the state's rights to set their own EV regulations. This battle could determine the viability for the largest EV market in the country.
U.S. immigration and trade policies have also worked against EVs. Steep tariffs hiked the cost of critical battery materials that are overwhelmingly produced in China, such as lithium-iron-phosphate batteries and graphite used in anodes.
The immigration laws have also been tightened, which has made it difficult for foreign battery manufacturers to hire engineers in U.S. factories. In a raid by Immigration and Customs Enforcement on a battery factory under construction in Georgia that was co-owned with LG Energy Solution and Hyundai Motor in September 2025, 475 people were arrested. Many of the people sent home were South Korean engineers and specialists needed to calibrate highly-specialized machinery for long periods.
Two people have told me that some workers in South Korea are now reluctant to travel to the U.S. and this is causing LG's U.S. factory operations to be delayed by several months.
In a statement released jointly, LG Energy said that the Georgia facility was completed and its first cells were shipped in July. The majority of the 500 employees at the plant were locals, they claimed.
MUSCLE TRUCKS ARE MADE IN CHINA, WHILE EVs DOMINATES THE WORLD
Auto executives can now pursue aggressively gasoline engine programs.
In May, Stellantis executives gathered journalists at a test track about an hour west from Detroit to show off a new range of Ram "muscle" trucks with engines up to 6.4 liters. One truck, the yellow and black Ram 1500 Rumble Bee SRT can go from zero to sixty miles per hour at speeds as fast as Ferraris.
Tim Kuniskis is the head of Stellantis' American Brands. As Guns N' Roses' Welcome to the Jungle rumbled the bleachers, giant screens flashed the words "in loud, we trust".
Stellantis, meanwhile, has scrapped EV projects in order to reduce its $27 billion debt. A part of the $6 billion battery complex, which will create 2,800 jobs in Kokomo (Indiana), jointly planned by Samsung SDI and Stellantis, has been stalled. The automaker cancelled development of its planned Ram electric vehicle in late 2025.
Samsung SDI has confirmed that it is in discussions with Stellantis about the future of its Indiana facility.
Stellantis stated that the revised regulations of the administration "are more aligned to market realities" and are focused on delivering a variety of vehicles and powertrains - from V-8 engines, to?pure EVs or small cars.
Ford plans to stop producing EV pickups at its Tennessee assembly plant and switch to gas-powered models. However, the work will start several years after it was originally planned to be an EV factory.
It's still unclear if voters in the affected states will punish Republicans over the EV retreat. Many in Glendale did not blame Trump's policies when it came to the empty battery factories.
Joshua Urso, a worker who was let go in December, was one of the many. He found work at a fabrication workshop after applying for 100 jobs. He said that the push to promote EVs under Biden is the real problem.
Don't tell my I have to purchase anything. "I'll buy whatever I want to," he said. "If I want to buy a black-smoking, gas-guzzling diesel, then I will."
Trump's fossil-fuel-friendly agenda has set the U.S. apart from China and Europe, the two world's top auto markets. In these regions, EV sales are booming due to the demand from buyers, intense competition between carmakers and government incentives. The war in the Middle East has pushed up gas prices, and this year Europeans are gravitating towards EVs.
U.S. automakers may see short-term benefits from selling more gas-guzzling pickup trucks. These are their top money-makers. This will put them further back in the global race, according to Susan Helper, a professor of economics at Case Western Reserve University, and former senior advisor for industrial strategy for Biden.
Helper stated that "We won't be making electric cars, as the rest of world wants them."
Wilmoth, a former employee of BlueOval SK in Kentucky (the Ford-SK venture), blames the Biden administration and automakers for pushing too hard for strict regulations. He now works on an AI startup.
He often thinks about his colleagues who lost their careers, which they thought would provide for their families over many years.
He said that for a time, they pretended it would work.
(source: Reuters)