European Battery Production Stellantis and CATL Build Battery Plant in Spain

From Thomas Günnel / Translated by AI 1 min Reading Time

Stellantis and CATL are building a battery plant in Spain, with several billion euros being invested in the facility.

Batteries for Small and Compact Cars: Stellantis and CATL are building a battery plant in Spain through a joint venture. (Image: Stellantis)(Bild:)
Batteries for Small and Compact Cars: Stellantis and CATL are building a battery plant in Spain through a joint venture. (Image: Stellantis)
(Bild:)

Stellantis and CATL are investing up to €4.1 billion in a joint venture to build a battery plant for lithium-iron-phosphate (LFP) cells in Zaragoza, Spain. 
Stellantis announced that the fully climate-neutral facility is expected to begin operations by the end of 2026.

The planned capacity of the plant is 50 gigawatt-hours, contingent on the development of the European electric vehicle market and support from Spanish and EU authorities.

Batteries for B- and C-Segment Cars

The battery cells will be used by Stellantis in batteries for passenger cars, crossovers, and SUVs in the B- and C-segments, targeting vehicles with medium ranges. John Elkann, Chairman of Stellantis, expressed gratitude to all parties involved, including the Spanish authorities, for their ongoing support in bringing the project to fruition.

In November 2023, Stellantis and CATL signed a non-binding memorandum of understanding for the local supply of LFP battery cells and modules for electric vehicle production in Europe. Both companies hold equal stakes in the joint venture.

The transaction is expected to be completed during 2025, subject to customary regulatory conditions. CATL already operates battery plants in Germany and Hungary.

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