Stellantis employee at work inside the brand new Hybrid and PHEV Autos Stellantis Group eDCT Meeting Plant on April 10, 2024 in Turin, Italy.
Stefano Guidi | Getty Photos Information | Getty Photos
Automaker Stellantis and Chinese language battery big CATL on Tuesday introduced plans to collectively construct a 4.1 billion euro ($4.3 billion), large-scale lithium iron phosphate (LFP) battery plant in Spain.
The 50-50 three way partnership might attain as much as 50 gigawatt hours, topic to the evolution of the marketplace for electrical autos in Europe and requisite authorities help.
The ability might be constructed at Stellantis’ Zaragoza web site in northeastern Spain and is anticipated to be up and working by the tip of 2026.
Dodge maker Stellantis stated the plant will enhance the automotive big’s “best-in-class” LFP credentials in Europe, enabling the corporate to make extra high-quality and inexpensive battery-electric passenger vehicles and SUVs.
It comes at a time when Europe’s automakers are going through an ideal storm of challenges on the street to full electrification, together with a scarcity of inexpensive fashions, a slower-than-anticipated rollout of charging factors and the prospect of focused U.S. tariffs.
“This necessary three way partnership with our associate CATL will carry revolutionary battery manufacturing to a producing web site that’s already a pacesetter in clear and renewable power, serving to drive a 360-degree sustainable method,” Stellantis Chairman John Elkann stated in an announcement.
Elkann additionally thanked Spanish authorities for his or her help.
Shares of Milan-listed Stellantis traded 0.3% greater on Tuesday morning. The inventory worth has plummeted greater than 38% year-to-date.
Stellantis and CATL, one of many world’s greatest battery producers, signed a non-binding memorandum of understanding in November final yr for the native provide of LFP battery cells and modules for electrical automobile manufacturing in Europe.
“I imagine our cutting-edge battery know-how and excellent operation knowhow mixed with Stellantis’ decades-long expertise in working enterprise domestically in Zaragoza will guarantee a significant success story within the trade,” Robin Zeng, CEO and chairman of CATL, stated in an announcement.
“CATL’s objective is to make zero-carbon know-how accessible throughout the globe, and we look ahead to cooperating with our companions globally via extra revolutionary cooperation fashions,” he added.
