European Battery Manufacturing Set to Grow 20-Fold by 2025
Battery manufacturing capacity in Europe is set to increase 20-fold over the next seven years, to output of 90 gigawatt-hours per year, according to an analysis earlier this month by Wood Mackenzie Power & Renewables.
While Asia now accounts for 65% of global battery cell manufacturing capacity, the study shows Europe gaining ground, Greentech Media reports.
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“Several European and Asian battery vendors are now expanding in Europe by building manufacturing bases in the region,” said Wood Mackenzie energy storage analyst Mitalee Gupta. Greentech’s coverage points to production plants under construction in Poland, Sweden, and Finland, as well as an expanded facility in Germany, led by companies like LG Chem, BYD, chemicals giant BASF, Chinese battery-maker Farasis Energy, and Northvolt, a Swedish company launched by former Tesla executives.
The newly-announced facilities “would be on top of European manufacturing beachheads being established by Contemporary Amperex Technology, LG Chem, Samsung SDI, SK Innovation, GSR Capital, GS Yuasa, and Lishen,” Greentech notes. “The scale of many of these companies’ plans is significant,” although one major consortium involving about 20 companies and research institutions was abandoned last month.