Automotive manufacturers in Indiana have a new opportunity to apply for state financial assistance to expand production capabilities and develop products for emerging vehicle technologies.
The Indiana Economic Development Corporation has opened applications for the Accelerated Development of Automotive Propulsion Technology program, known as ADAPT.
The program offers matching grants ranging from $100,000 to $1 million to qualifying small and medium-sized automotive suppliers.
Applications opened October 26, 2026, and will remain available through January 8, 2027.
The initiative is designed to help Indiana manufacturers expand beyond traditional internal combustion engine components and pursue additional opportunities in the automotive industry.
Grant Funding Supports Manufacturing Diversification
Indiana has an established automotive manufacturing industry that includes businesses producing vehicle components, industrial equipment, and specialized parts.
As vehicle manufacturers introduce additional propulsion technologies, some suppliers may need new equipment, software, and technical capabilities to serve those markets.
The ADAPT program is intended to help eligible manufacturers make those investments.
Funding is available for projects supporting hybrid vehicles, plug-in hybrids, battery-electric vehicles, and hydrogen fuel cell vehicles.
The program focuses on developing manufacturing capabilities that can support commercially viable products.
Companies interested in participating should be prepared to explain how their proposed investments will help them enter or expand within qualifying automotive markets.
Grants Range From $100,000 to $1 Million
Individual grants will range from $100,000 to $1 million.
The program requires businesses to provide at least a dollar-for-dollar matching investment.
For example, a qualifying manufacturer seeking a $250,000 grant would need to contribute at least $250,000 toward its approved project.
A business pursuing the maximum $1 million award would need to provide at least $1 million in matching investment.
The matching requirement means the program is intended for businesses prepared to commit their own resources to expansion.
Awards are competitive and are not guaranteed simply because an applicant operates in the automotive industry.
What Expenses Can Qualify?
According to the Indiana Economic Development Corporation, eligible investments can include new manufacturing equipment, software, and workforce training.
These activities must support the development of qualifying manufacturing capabilities.
Equipment purchases might help a manufacturer introduce new production processes or adapt existing operations to different vehicle components.
Software investments may support engineering, production management, or other approved manufacturing activities.
Workforce training can help employees develop technical skills needed to operate new equipment or support additional production methods.
Applicants should review the complete program requirements before making purchases or committing project funds.
Who Should Consider Applying?
The program specifically targets small and medium-sized manufacturers participating in Indiana’s automotive supply chain.
It is not a general small-business grant available to retailers, restaurants, professional service providers, or businesses unrelated to automotive manufacturing.
Manufacturers should evaluate whether their proposed projects involve qualifying propulsion technologies and whether they can meet the required matching investment.
Companies should also consider whether they have sufficient project planning, financial resources, and technical capabilities to complete the proposed work.
Applications Close January 8
Applications are being accepted through January 8, 2027.
Interested manufacturers can access the application process through the Indiana Economic Development Corporation’s official ADAPT program page.
The agency also provides program information and a designated contact for questions about eligibility and application requirements.
For qualifying Indiana automotive suppliers, ADAPT provides a potential source of financial assistance for investments intended to expand manufacturing capabilities and reach additional markets.