In 2022 automotive original equipment manufacturers, suppliers, startups, and other participants in the electric vehicle (EV) ecosystem used mergers and acquisitions, joint ventures, and strategic transactions to enhance their capabilities. This was driven in part by the desire to capture a larger share of the rapidly growing EV market, take advantage of significant state and federal financial incentives, and redomesticate portions of the EV supply chain for tax credits provided under the Inflation Reduction Act of 2022 and other government programs.
Source: Using M&A and Other Strategic Transactions to Enhance EV-Launch Readiness