Critical Minerals and Manufacturing Support Act

This bill changes a federal tax credit to boost battery manufacturing in the U.S. and North America. It raises the credit for “electrode active materials” to 25% (up from 10%), and it lets companies count raw material costs—including minerals taken from the ground or recovered from waste—when figuring the credit.

To earn the credit, companies must meet tough sourcing rules. For the minerals inside battery parts, at least 70% in 2026 and 80% from 2027 onward must be extracted or processed in the U.S. or a U.S. free‑trade partner, or recycled in North America. For battery components, at least 70% in 2026, 80% in 2027, 90% in 2028, and 100% from 2029 must be made or assembled in North America. No credit is allowed if any minerals or parts come from a “foreign entity of concern,” as defined in federal law. The bill also adds silicon used in battery anodes to the list of covered critical materials. These changes apply to components produced and sold after December 31, 2025.

• Who is affected: Battery makers and their suppliers who want to claim the tax credit.
• What changes: Higher credit rate for key materials; stricter “made in North America” and mineral sourcing rules; exclusion for foreign entities of concern; silicon for anodes now counts as a covered material .
• When: Applies to items produced and sold after Dec. 31, 2025; sourcing thresholds phase in from 2026–2029.