Chaevi plans US production base to qualify for federal subsidies

Chaevi's U.S. production facility in California / Courtesy of Chaevi

Electric vehicle (EV) power equipment maker Chaevi said Friday that it is moving to establish a U.S. production base to qualify for federal subsidies, as the government accelerates the rollout of multibillion-dollar infrastructure grants.

Under the U.S. National Electric Vehicle Infrastructure (NEVI) program, established by the Infrastructure Investment and Jobs Act, federal and state governments have jointly committed $5 billion to install charging infrastructure along the nation’s major interstate highways.

Of the total budget, approximately 16 percent has been reportedly disbursed to date, leaving the bulk of anticipated contracts still to be awarded.

With funding concentrated in major states including California and Texas, securing a local manufacturing presence has become a key competitive factor. Chaevi said it will move to respond flexibly once the detailed requirements under the Build America Buy America Act are finalized.

According to the EV fast-charging infrastructure operator, the U.S. DC-type fast-charging market has grown at an average annual rate exceeding 30 percent, surpassing 70,000 ports as of 2025. Some 18,041 ports were newly installed in 2025 alone, a 39 percent increase year over year.

The market is projected to reach approximately $37 billion by 2033, reflecting a compound annual growth rate of 25.7 percent, in line with forecasts of 27 million EVs on U.S. roads by 2030.

Chaevi has already been selected as a charging operator and manufacturer under California's CALeVIP subsidy program, establishing a reference base in the state. Building on that, the company plans to set up a new manufacturing line in California in the first half of this year to pursue NEVI contract wins and strengthen its North American market position.

Local production is being established in partnership with U.S. EV charging platform company EVmode. Chaevi will supply chargers of 150 kilowatts and above under the EVmode brand and user interface, offering a full-stack solution that includes a software-as-a-service-based integrated operations system and app.

“The U.S. NEVI subsidy market is entering a prime expansion phase, making this the ideal moment to prove the competitiveness of Korean charging technology,” Chaevi CEO Choi Young-hoon said.

He added that the company is positioned to respond quickly once local production requirements are confirmed and that its approach actually allows for greater flexibility than competitors that invested earlier.

This article was published with the assistance of generative AI and edited by The Korea Times.