Ongoing infrastructure enhancements in Florence to support future growth.
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AESC is a leading manufacturer of electric vehicle batteries, with a significant investment focus in South Carolina. The company originally announced an $810 million investment to build a state-of-the-art battery plant, which has since escalated to $1.6 billion, aiming to create over 1,600 jobs. Since its inception, AESC has committed to advancing electric mobility and supporting the automotive industry’s shift towards sustainable solutions. The company’s operations are closely integrated with local infrastructure initiatives, including water, sewer, and transportation enhancements, and are part of a broader regional effort to develop a resilient industrial ecosystem. Despite current construction delays due to market and policy uncertainties, AESC remains dedicated to its strategic growth and collaboration with major automakers like BMW.
Florence is moving forward with its infrastructure projects despite a construction pause at AESC’s electric vehicle battery plant. The investment for the project has risen significantly, with plans in place for upgrades to local water and sewer systems. City officials remain committed to enhancing essential services to support future growth and job creation in the area. The local government aims to utilize the pause to improve infrastructure that will benefit the anticipated operations of AESC and ultimately generate more jobs.
Florence is advancing its infrastructure plans even as the AESC faces a construction pause on its long-anticipated electric vehicle battery plant. Despite the delays, city officials remain committed to improving essential services for future growth. The initial investment for the battery plant, which stood at $810 million and was projected to create 1,170 jobs, has now escalated to $1.6 billion, with expectations of ultimately generating 1,620 jobs.
The current pause in construction is attributed to concerns regarding federal policies and market uncertainties, as outlined by an AESC spokesperson. The company plans to resume construction when stability returns, reaffirming its commitment to the investment and job creation goals. Local government leaders are viewing the delay as a chance to bolster infrastructure in advance of the plant’s operations.
Florence is taking proactive steps to enhance its infrastructure, with plans including upgrades to the city’s water and sewer systems, as well as the construction of a new road leading to AESC’s site in the Florence Global Technology Park. These improvements are estimated to cost $18 million in bonds and $20 million in capital construction funds, a significant allocation designed to accommodate AESC’s expected operations.
Currently, $15 million of the allocated funds has already been spent, and reimbursement from the South Carolina Department of Commerce is anticipated. Local officials are hopeful that these enhancements will meet the increased demand for water services that AESC’s operations are expected to generate.
South Carolina is also investing in a new training facility for AESC, which is approximately 70 percent completed and will further support job creation in the region. In addition to the training facility, Florence County is constructing a new road within the technology park to facilitate industrial development, utilizing state funds for this initiative.
AESC’s initial plans included multiple phases, with Facility 2 (phase 3) being announced in March 2024. However, this was halted in February 2025 due to the same market uncertainties now affecting the entire project, which reduced both projected investment and job numbers. Despite the present situation, city and county leaders express confidence in AESC’s commitment to the region.
Florence County has already witnessed significant investment, amounting to $1 billion, which underscores local leaders’ continued belief in AESC’s future progress. The evolving landscape of federal economic policies, particularly regarding U.S. trade and electric vehicle subsidies, has contributed to the uncertainties surrounding the project.
If AESC decides to halt its plans permanently, the city may face longer timelines in recouping infrastructure investments that are specifically linked to the expected operations of the battery plant. Meanwhile, the collaboration between AESC and BMW remains a focal point, with plans for BMW’s battery assembly plant in South Carolina to utilize AESC’s cylindrical cells starting in 2026.
In sum, Florence continues to advance its infrastructure improvements in the face of challenges related to the AESC construction pause. The local government’s commitment to upgrading critical services indicates a strategic priority to lay the groundwork for growth, even as uncertainties ripple through the electric vehicle battery market.
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