Donnelly Announces $50 Million Investment in Vehicle to be Produced in Mishawaka

Washington, D.C. — Today, Congressman Joe Donnelly announced that The Vehicle Production Group (VPG) has received a $50 million loan from the U.S. Department of Energy’s Advanced Technology Vehicles Manufacturing (ATVM) Loan Program to support production of the MV-1 vehicle that runs on compressed natural gas.  The MV-1 is a purpose-built paratransit vehicle, or taxi, designed to serve the disabled community.   VPG contracted with AM General for the assembly of the MV-1, and production of the wheelchair-accessible vehicle will take place at AM General’s Commercial Assembly Plant (formerly the H2 plant) in Mishawaka.  Eighty-four workers that were recently laid off will be rehired with this funding.

“There aren’t harder working folks than the men and women of north central Indiana, so I’m pleased to announce this significant vote of confidence in their ability to manufacture the vehicles of the future,” said Donnelly.  “This investment will both put people back to work and, once completed, will serve Americans with disabilities.  Also, by fueling these vehicles with compressed natural gas, we’re taking an important step toward lessening our dependence on foreign oil.”

U.S. Department of Energy Secretary Steven Chu said, “Advances in vehicle technology like this will help reduce our dependency on oil and ensure that our nation’s workforce is producing the best, most innovative vehicles in the world.  We hope projects like VPG will encourage the development of other compressed natural gas vehicles, resulting in reduced emissions, new jobs, and increased independence for Americans who use wheelchairs.”

The ATVM Loan Program consists of direct loans to support the development of advanced technology vehicles and associated components in the United States.  The program offers loans to automobile and automobile parts manufacturers for the cost of reequipping, expanding, or establishing manufacturing facilities in the U.S. to produce advanced technology vehicles or qualified components, and for associated engineering integration costs.

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