(Bloomberg) -- Semiconductor maker SK Siltron CSS LLC was awarded a $544 million conditional loan by the Biden administration Thursday to help expand a Michigan wafer production facility used in electric vehicles.

The company, part of South Korea conglomerate SK Inc., will use the funding to expand American manufacturing of high-quality silicon carbide wafers, a key component in electric vehicles, the Energy Department said in a statement announcing the financing. 

The loan will increase manufacturing at the company’s existing Bay City, Michigan, facility and create up to an additional 200 skilled jobs, for an estimated total of 450 workers by project completion in 2027, the company said in a statement. 

In addition, the Energy Department announced it was offering a $165.9 million conditional loan to American Battery Solutions for the expansion of advanced battery pack facilities in the company’s Springboro, Ohio, and Lake Orion, Michigan, facilities.

--With assistance from Bill Haubert.

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