Pentagon commits $1.4 billion loan to Sila Nanotechnologies
The Trump administration agreed to provide more than $2 billion in funding to companies producing batteries and critical minerals, adding to a wave of government cash aimed at reducing U.S. reliance on Chinese suppliers, The Wall Street Journal reported.
President Trump announced at a Friday roundtable with mining executives that the Defense Department has committed to lend next-generation battery company Sila Nanotechnologies $1.4 billion and signed deals with three other companies, the Journal reported.
According to The Wall Street Journal, more-powerful batteries are needed for everything from drones to the data centers that run artificial intelligence models, making domestic production a priority.
The announcement extends a government lending spree of tens of billions of dollars, fueled by fears that the U.S. relies on China and other countries for the critical components of the weapons and equipment the Pentagon needs, the Journal reported.
The Defense Department operates an office staffed with bankers and other specialists dedicated to directing the money to the right projects, according to the report.