Norwegian automaker TH!NK Global has gone from the brink of collapse to a global rollout in little more than a year. TH!NK and Finland-based Valmet Automotive began distribution of hundreds of City EVs to customers throughout Europe in December 2009. The automaker announced that the City EV will be produced in Elkhart County, Indiana for American consumers. TH!NK will begin American production of its signature EV in the first quarter of 2011 with distribution following shortly after.
TH!NK found a kindred spirit in lithium-ion battery manufacturer EnerDel while searching for a location for its American manufacturing center. EnerDel is operated by Ener1, which became a minority stakeholder in TH!NK this past fall. The battery company is located in Indianapolis, Indiana, which is three hours south of Elkhart County. EnerDel was also able to assist TH!NK in securing funds for the automaker’s new factory from local and state officials.
The Elkhart County facility is designed to produce 20,000 City EV units per year starting in 2011. TH!NK will work through the U.S. Department of Energy’s Advanced Vehicle Technology Manufacturing (AVTM) program for loans to build the manufacturing center. While TH!NK has not received AVTM loans yet, the combination of new jobs and a boast to auto manufacturing should yield substantial short-term funding. Elkhart County officials and the state of Indiana have pledged $17 million in tax incentives and job training funds to secure TH!NK’s commitment to the new facility. The infusion of grants, tax incentives and loans to TH!NK Global should keep the production lines going as consumers learn more about the City EV.
The production of TH!NK City EVs in Elkhart County, Indiana offers benefits beyond the creation of new jobs. If TH!NK succeeds in distributing thousands of City EVs in North America, it will force the Big Three and foreign automakers to develop their hybrids and electric vehicles on shorter timetables. The TH!NK City EV could also shift American consumers toward smaller vehicles, which would require less material to build in the long run. Critics of electric cars will soon get a chance to see the TH!NK City EV in action in their communities. As the TH!NK City EV demonstrates its 100-mile range and sufficient motor power, the public will warm to the next generation of vehicles despite apprehensions.
