Gotion, a Chinese battery manufacturer, has scrapped its plans to construct a $2.4 billion plant in Michigan intended for electric vehicle materials production. The Michigan Economic Development Corporation disclosed the cancellation on Thursday.

Initially revealed in October 2022, the project promised approximately 2,350 new jobs but attracted criticism over Gotion's Chinese ownership. The Michigan state government confirmed that a $125 million grant was never utilized, and efforts are underway to reclaim $23.6 million used for the land acquisition.

Notably, Volkswagen, based in Germany, holds a significant stake in Gotion High-Tech, the parent company of Gotion.

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