PROPERTY, PLANT, AND EQUIPMENT, NET

12 Months Ended

Dec. 31, 2022

Property, Plant and Equipment [Abstract]

PROPERTY, PLANT, AND EQUIPMENT, NETProperty, plant, and equipment are recorded at cost, net of accumulated depreciation and impairments. Costs of routine maintenance and repair are expensed when incurred.

The Company capitalizes certain qualified costs incurred in connection with the development of software used internally. Costs incurred during the application development stage are evaluated to determine whether the costs meet the criteria for capitalization. Costs related to preliminary project activities and post implementation activities that are not incremental upgrades, including maintenance, are expensed as incurred.

Property, plant, and equipment are primarily depreciated using the straight-line method over the estimated useful life of the asset. Land is not depreciated.

The following table summarizes the components of “Property, plant, and equipment, net” on the Consolidated Balance Sheets (in millions):


	Estimated Useful Lives	December 31, 2021		December 31, 2022
Land, buildings, and building improvements	10 to 30 years	$	429	$	636
Leasehold improvements	Shorter of 10 years or lease term	191		297
Machinery, equipment, vehicles, and office furniture	2 to 10 years	1,856		2,456
Computer equipment, hardware, and software	3 to 5 years	180		409
Construction in progress		760		843
Total property, plant, and equipment		3,416		4,641
Accumulated depreciation and amortization		(233)		(883)
Total property, plant, and equipment, net		$	3,183	$	3,758

Depreciation and amortization expense was $29 million, $197 million, and $647 million for the years ended December 31, 2020, 2021 and 2022, respectively.