Another bad sign in the car. Battery manufacturer ACC (Automotive Cells Company) suspends its plans to build gigafactories in Germany and Italy. However, just a year ago, Stellantis CEO Carlos Tavares, Totalenergies CEO Patrick Pouyanné and Mercedes boss Ola Källenius proudly inaugurated their joint venture’s first French gigafactory in Douvrin in the North.
Today, ACC is forced to stop its projects. These two electric battery factory projects in Kaiserslautern, Germany, and Termoli, Italy, were due to begin production in 2025 and 2026 respectively. The subsidiary of Stellantis (45%), Totalenergies (25%) and Mercedes (30%) will decide on one. new calendar for the end of the year.
Technology change
The first reason for this change is the slowdown in demand for electric cars in Europe. But, above all, ACC is adapting to the market that demands cheaper electric batteries. And he is changing his mind regarding the chosen technology.
Today, the company exclusively manufactures “NMC” batteries based on nickel, manganese and cobalt. They have the advantage of having more autonomy but their production is more expensive. A few years ago, they were still very popular among car manufacturers, but today they have been surpassed by another technology: “LFP” batteries for lithium iron phosphate. Much cheaper, they have less autonomy.
Hyundai and Toyota have turned to it and Renault is seriously considering it for its future electric models such as the R5 or the Twingo. ACC explains that “it has been working on LFP technology for several months” and “is now intensifying its research.”
Renault is thinking about it
Time is running out because even Stellantis, ACC’s largest shareholder and first customer, has partnered with the Chinese giant CATL to supply lithium iron phosphate batteries. A pressure that ACC has no choice but to take philosophically.
“Stellantis is not going to wait until our research is finished to have cheaper batteries,” the company acknowledges.
The company began producing electric batteries at its French factory in Douvrin, in the north. Its second production line, scheduled for next year, is not in doubt at the moment.
Source: BFM TV
