DOE announces $500M to strengthen domestic critical materials processing and manufacturing

The U.S. Department of Energy’s (DOE) Office of Critical Minerals and Energy Innovation (CMEI) announced a Notice of Funding Opportunity (NOFO) for up to $500 million to expand U.S. critical mineral and materials processing and derivative battery manufacturing and recycling.

Assistant Secretary of Energy (EERE) Audrey Robertson is currently in Japan meeting with regional allies at the Indo-Pacific Energy Security Ministerial and Business Forum (IPEM) to advance shared efforts on supply chain resilience and energy security issues. Her engagements at IPEM underscore the importance of close cooperation with partners as the United States strengthens its supply chain through this NOFO.

“For too long, the United States has relied on hostile foreign actors to supply and process the critical materials that are essential in battery manufacturing and materials processing,” said U.S. Energy Secretary Chris Wright. “Thanks to President Trump’s leadership, the Department of Energy is playing a leading role in strengthening these domestic industries that will position the U.S. to win the AI race, meeting rising energy demand, and achieve energy dominance.”

“I am delighted to be in Japan meeting with our allies, underscoring the important connection between critical materials and energy security,” said Assistant Secretary of Energy (EERE) Audrey Robertson. “Critical minerals processing is a vital component of our nation’s critical minerals supply base. Boosting domestic production, including through recycling, will bolster national security and ensure the United States and our partners are prepared to meet the energy challenges of the 21st century.”

Funding awarded through this NOFO will support demonstration and/or commercial facilities for processing, recycling, or utilizing for manufacturing of critical materials which may include traditional battery minerals such as lithium, graphite, nickel, copper, aluminum, as well as other minerals that are contained within commercially available batteries.

This is the third round of funding issued through DOE’s Battery Materials Processing and Battery Manufacturing and Recycling programs. DOE is seeking projects in the following topic areas for applicants:

• Domestic Critical Minerals Processing from Raw Feedstocks: Increase U.S. processing capacity for critical minerals and materials for use in advanced batteries.
• Domestic Critical Materials Recycling: Increase recovery of battery critical minerals through recycling of manufacturing scrap and/or off-specification or end-of-life batteries.
• Domestic Battery Materials and Component Manufacturing: Increase domestic manufacturing capacity for strategic battery materials, components and technologies.

A webinar with additional information on this funding opportunity will be held at 1:00 PM ET on March 26, 2026.