First mover advantage in offering a storage solution that qualifies for the Inflation Reduction Act’s domestic content bonus tax credit

ARLINGTON, Va., Sept. 10, 2024 (GLOBE NEWSWIRE) -- Fluence Energy, Inc. (“Fluence”) (NASDAQ: FLNC), a global market leader delivering intelligent energy storage, operational services, and asset optimization software, today announced the start of domestic production of its battery modules at a facility in Utah. These battery modules will incorporate battery cells manufactured in Tennessee. This marks a key step in Fluence’s strategy to scale module production with domestically sourced components to meet increasing domestic demand for utility-scale energy storage.

Fluence’s domestically manufactured battery modules seamlessly integrate with Fluence’s battery management system to deliver industry-leading state of charge, balance, and system health. This integration is intended to help provide safe and secure energy delivery for customers. Additionally, Fluence modules are designed to provide supply chain flexibility by allowing access to the most competitive domestic and international battery cells as they become available.

“Our proactive approach to securing U.S.-manufactured battery cells and rapid initiation of module production has provided us with an advantage in delivering a storage solution that allows our customers to capture the Inflation Reduction Act’s domestic content bonus tax credit,” said John Zahurancik, Fluence President, Americas. “We are moving quickly to deliver domestically manufactured energy storage solutions that meet our customers’ needs, reduce supply chain risks for projects, and support the nation’s energy independence.”

Recently announced increases in Section 301 tariffs on batteries imported from China underscore the need for a robust domestic supply chain. With these tariffs set to rise to 25 percent in 2026, Fluence’s U.S.-based manufacturing strategy is critical for meeting customer needs in a shifting global trade landscape. In addition to U.S. manufacturing, Fluence is committed to cybersecure products. Fluence system software is developed by Fluence in the United States, Germany, and India.

Fluence’s U.S. manufacturing capabilities are already making an impact on major energy projects, including the Eleven Mile Solar Center in Arizona. All enclosures for the Eleven Mile Solar Center were delivered from a production facility in Utah. Additionally, Fluence recently announced an agreement with Excelsior Energy Capital to deploy 2.2 GWh of energy storage projects using domestically manufactured battery systems across the United States, beginning in 2025.

About Fluence

Fluence is a global market leader delivering intelligent energy storage and optimization software for renewables and storage. Our solutions and operational services are helping to create a more resilient grid and unlock the full potential of renewable portfolios. With gigawatts of successful implementations across nearly 50 markets, we are transforming the way we power our world for a more sustainable future.

For more information, visit our website, or follow us on LinkedIn or X. To stay up to date on the latest industry insights, sign up for Fluence's Full Potential Blog.

Cautionary Statement Regarding Forward-Looking Statements

The statements described herein that are not historical facts are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, Section 21E of the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995. These forward-looking statements include, without limitation, statements regarding the anticipated operational performance of our battery modules, Fluence’s current production, manufacturing, and supply chain strategy, including relating to cybersecurity, and related impacts to the energy storage market, anticipated impacts to our supply chain for Fluence products and projects, expected timeline and operational performance for certain Fluence major energy projects, and expected benefits from the Inflation Reduction Act of 2022 (the “IRA”) for Fluence and customers. Such statements can be identified by the fact that they do not relate strictly to historical or current facts. When used in this press release, words such as “may,” “possible,” “will,” “should,” “expects,” “plans,” “anticipates,” “could,” “intends,” “targets,” “projects,” “contemplates,” “believes,” “estimates,” “predicts,” “potential,” or “continue,” or the negative of these terms or other similar expressions and variations thereof and similar words and expressions are intended to identify such forward-looking statements, but the absence of these words does not mean that a statement is not forward-looking.

The forward-looking statements contained in this press release are based on our current expectations and beliefs concerning future developments, as well as a number of assumptions concerning future events, and their potential effects on our business. These forward-looking statements are not guarantees of performance, and there can be no assurance that future developments affecting our business will be those that we have anticipated. These forward-looking statements involve a number of risks, uncertainties (some of which are beyond our control), or other assumptions that may cause actual results or performance to be materially different from those expressed or implied by these forward-looking statements, which include, but are not limited to, interruptions in the production of the battery modules, unforeseen operational challenges or inefficiencies relating to the battery modules, ability to achieve anticipated synergies and reduce supply chain and cybersecurity risks relating to Fluence operations, changes in law or guidance relating to the IRA, and unanticipated changes in customer needs, as well as other factors set forth under Part I, Item 1A “Risk Factors” in our Annual Report on Form 10-K for the fiscal year ended September 30, 2023, Quarterly Reports on Form 10-Q, and in other filings we make with the U.S. Securities and Exchange Commission from time to time. New risks and uncertainties emerge from time to time and it is not possible for us to predict all such risk factors, nor can we assess the effect of all such risk factors on our business or the extent to which any factor or combination of factors may cause actual results to differ materially from those contained in any forward-looking statements. Should one or more of these risks or uncertainties materialize, or should any of the assumptions prove incorrect, actual results may vary in material respects from those projected in these forward-looking statements. You are cautioned not to place undue reliance on any forward-looking statements made in this press release. Each forward-looking statement speaks only as of the date of the particular statement, and we undertake no obligation to publicly update or revise any forward-looking statements to reflect events or circumstances that occur, or which we become aware of, after the date hereof, except as otherwise may be required by law.

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Email: shayla.ebsen@fluenceenergy.com
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