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EU invests another 852 mln. euro in six battery factories for electric vehicles

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    Six more innovative projects for the production of battery cells for electric vehicles will receive grants totaling €852 million from the Innovation Fund, using revenues from the EU Emissions Trading Scheme (EU ETS), a press release from the European Commission informs.

    The projects support innovation in the production of battery cells for electric vehicles and the implementation of innovative and sustainable manufacturing techniques, processes and technologies. The selected projects represent strategic investments that will support Europe’s transition to a clean, competitive and resilient industrial base, while reducing import dependency and promoting the development of clean technologies, as well as industrial leadership, according to Agerpres.

    The €852 million will go to two projects in Germany, two in France, one in Sweden and one in Poland, with the Commission expecting all projects to be operational by 2030.

    “We want EU battery production to thrive thanks to innovative and clean technologies that will bring us closer to achieving a clean industrial transition,” said Climate Commissioner Wopke Hoekstra.

    Selected projects will receive support covering both their capital and operational costs, which will be paid when project milestones are met. Part of the payment may take place before commissioning to support the investment phase of the project. In the first 10 years of operation, they are expected to reduce greenhouse gas (GHG) emissions by around 91 million tonnes of CO2 equivalent. When completed, these projects will have a combined production capacity of around 56 gigawatt-hours (GWh) of battery cells for electric vehicles per year.

    The selected applicants are expected to sign their respective grant agreements with the European Executive Agency for Climate, Infrastructure and Environment (CINEA) in the third quarter of 2025.

    The specific call for proposals for batteries is part of a wider initiative to strengthen the battery value chain in Europe, with financial support of up to three billion euros. It aims to address the main economic and technical barriers facing the sector, in particular in view of global competition and supply chain vulnerabilities.

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