In recent years, the active transition to environmentally friendly technologies has become not only a trend, but also a necessity for European countries. One of the key areas of development of the "green" future is the production of batteries for electric vehicles (EV). Europe is looking to reduce its dependence on Asian manufacturers by attracting the world's leading battery makers to build their plants directly in the region, which is already home to automotive giants such as Volkswagen and Stellantis.
As part of this move to localize and green the industry, several large EV battery plants have been announced in Europe. The Automotive Cells Company (ACC), a joint venture between Stellantis, Mercedes-Benz and TotalEnergies, has announced that it has secured €4.4 billion in funding to build three gigafactories with a total capacity of 120 GWh by 2030.
Stellantis also plans to set up a lithium-iron-phosphate (LFP) battery plant as part of a planned joint venture with Chinese giant CATL. The head of the company, Carlos Tavares, notes that negotiations with the Spanish government to obtain subsidies for the construction of a gigafactory are actively underway.
In the UK, for example, Tata Group plans to build a £4 billion plant with an initial capacity of 40 GWh and start production in 2026. China's Envision is building a 12 GWh facility next to the Nissan plant with production to begin in 2025.
In Germany, Tesla is awaiting government approval to double the capacity of its €5 billion battery plant near Berlin from the current 50 GWh. Northvolt has begun construction of its plant in Germany following the approval of €902 million in subsidies from the European Commission.
These and other plans to build battery factories in Europe are part of the region's strategy to strengthen its industrial base, reduce dependence on imports and win in the global race for green technology. The push for autonomy in the production of key components for electric vehicles underscores Europe's growing awareness of the need to provide itself with sustainable and reliable sources of energy and materials.
Finland, for example, has signed a memorandum of understanding with a potential partner to build a factory for the production of battery cells with a capacity of up to 40 GWh. This underlines that the Nordic countries of the EU also want to contribute to a "green" future.
Not only Western European countries are active in this field. In Eastern Europe, for example, in Hungary, CATL is building a €7.3 billion plant with a target capacity of 100 GWh, which has been announced to start construction in 2022 with plans to start production within 2-3 years.
The importance of infrastructure development for the production of batteries for EVs in Europe is also reinforced by the desire to reduce the carbon footprint and strengthen the economic security of the region. Investments in these projects contribute to the creation of new jobs, the development of innovative technologies, and the strengthening of Europe's position in the global electric vehicle market.
In addition, amid increased competition for global green subsidies, particularly from the United States, Europe is showing its determination to keep up in the race for leadership in sustainable development. This demonstrates a deep understanding that the future of the automotive industry is inextricably linked to the transition to electric vehicles and the need to create its own high-tech production facilities.
Thus, the active development of the battery production sector for electric vehicles in Europe will be one of the key factors not only in achieving environmental goals, but also in ensuring the economic stability and independence of the region in the long term.
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