Billion-dollar battery plant pauses construction amid electric vehicle and tariff uncertainty

A Japanese company has halted construction on a $1.6 billion factory in South Carolina to help make batteries for electric BMWs, citing “policy and market uncertainty.” Automotive Energy Supply Corp. didn’t specify what those problems are. But Republican Gov. Henry McMaster says the company is dealing with the potential loss of federal incentives and tax breaks for electric vehicle buyers as well as tariff uncertainties from President Donald Trump’s administration. McMaster says people should relax and have faith in Trump's plans to transform the U.S. economy. AESC promised to restart construction on its $1.6 billion plant in Florence that will employee 1,600 workers, but did not say when.