a leading high-tech advanced mobility company, announced it has finalized today agreements on workforce and economic development incentives from the state of Oklahoma and the Cherokee Nation for its vehicle assembly and battery module manufacturing plants in Oklahoma City and Pryor, respectively. The estimated combined value of the incentive agreements is up to $113 million over 10 years. The agreements require the company to meet job creation and investment targets.
It’s been a multi-year effort to get to this point, and we are delighted to have finalized these agreements which enable Canoo to hire more than 1,300 Oklahomans and fulfill the vision of its state and tribal leaders to bring new industry to the state,” says Tony Aquila, Chairman and CEO, Canoo. “We’re grateful for the warm reception we’ve received, and we look forward to further building upon our relationships with state and local government and tribal leaders to realize their vision for Oklahoma.”
The agreement with the Oklahoma Department of Commerce will enable Canoo to receive performance-based payments from the Quality Jobs program and the Quick Action Closing Fund and to receive workforce training support. The Department of Commerce has issued a letter confirming Canoo’s eligibility for certain state tax credit and tax exemption programs.
Canoo also signed on-the-job training agreements with the Cherokee Nation. Under these agreements, the Cherokee Nation is committed to working with Canoo to identify skilled workers within their reservation to staff the battery module manufacturing facility in Pryor.
Aquila says that Canoo is pushing ahead with investments in equipment and jobs. Canoo will invest more than $320 million in its Oklahoma City assembly facility and Pryor battery module manufacturing plant. Together, these facilities will create more than 1,360 jobs at wages that exceed average state and local salaries, according to Department of Commerce data.
Canoo is already hiring for both sites and is advertising for its open positions. The company is working closely with the Cherokee Nation and with the State of Oklahoma and local career technology schools and staffing agencies to recruit and train a skilled advanced manufacturing workforce.
Work at both locations, Aquila says, is progressing. Vehicle assembly equipment is in place and is being readied for installation work involving commissioning, testing, validation, and optimization at its Oklahoma City facility. In Pryor, similar work is underway to complete installation and begin months of work to calibrate, test, and validate the performance and integrity of the high-tech systems. Both plants will incrementally expand production capacity in line with the company’s revenue forecasts, Aquila adds.
Canoo says it was attracted to Oklahoma because of the state’s positive environment for business, reputation for dedicated and hardworking people, and entrepreneurial spirit. The company says it is pleased to play a role in contributing to the broader strategy shared by state leaders, the Cherokee Nation and MidAmerican Industrial Park to grow the local automotive sector and to attract new clean energy technology investment. Leading clean energy technology companies Enel and USA Rare Earth recently announced plans to invest in Oklahoma.
Aquila adds that Canoo is accessing long-established incentive programs available to any business that meets eligibility criteria set by tribal and state governments.
