The European Commission has announced that it has awarded a total of €852 million (£736 million) to projects aimed at growing the EU’s EV battery manufacturing industry.
Six projects have been awarded funding from the European Commission’s Innovation Fund, which uses revenues from the EU Emissions Trading Scheme to support growth in clean industries. This call for proposals was launched in December 2024, and the Commission states that the awarded projects represent strategic investments that “will support Europe’s transition to a clean, competitive, and resilient industrial base”.
The selected projects were narrowed down from 14 applications from eight countries, and were selected based on their degree of innovation, their potential to reduce greenhouse gas emissions, operational, financial, and technical maturity, replicability, and their potential contribution to EU security of supply.
Two of the awarded projects will be developed in France, including the ACCEPT: Automotive Cells Company European Production Take-off project, which will develop five new lithium-ion battery production lines across two gigafactories with a combined annual production capacity of 15.7GWh. Also located in France will be the AGATHE: Advanced Gigafactory Aiming at Tempering greenHouse gases Emissions project, which aims to double the capacity of Verkor’s gigafactory in Dunkirk using advanced digital technology, from 8GWh to 16GWh per year.
Two more projects are located in Germany. These include the CF3 At Scale project, which will scale up production capacity for innovative battery cells using silicon/carbon anodes and high-nickel cathodes, and the WGF2G: Willstatt GigaFactory 2 GWh project, which aims to create a first-of-its-kind fully PFAS-free lithium-ion battery cell manufacturing process for EV batteries, targeting a 2GWh production capacity by 2030.
The final two projects will be developed in Poland and Sweden. In Poland, the 46inEU project will construct a new manufacturing line for next-generation cylindrical battery cells for EV, with a target production rate of 85 million cells annually, while the Swedish NOVO One project will construct a new gigafactory to produce up to 35 million lithium-ion nickel manganese cobalt battery cells each year.
Wopke Hoekstra, EU commissioner for climate, net zero and clean growth, stated that the investment “delivers on our goals to increase competitiveness and support pioneering decarbonisation technologies”. He added: “We want EU battery manufacturing to thrive thanks to innovative, clean technologies that will get us closer to materialising the clean industrial transition”.
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