Stellantis is expanding its network of gigafactories. The group announced this Tuesday that it will set up, together with the Chinese company CATL, a battery factory in Spain, next to its vehicle production plant located in Zaragoza.
This site will produce batteries with lithium-iron-phosphate (LFP) chemistry, a technology that is more affordable and faster to recharge than nickel-manganese-cobalt (NMC) technology. More and more manufacturers are turning to this technology, used in particular by the Chinese BYD, to limit costs.
A production start in 2026.
The transaction is “expected to be completed during 2025.” Production of these LFP batteries should begin there at the end of 2026 and could reach a capacity of 50 GWh, “depending on the evolution of the electricity market in Europe and the continued support of the Spanish and European Union authorities,” the two write. . groups in a press release.
“Designed to be completely carbon neutral, the battery factory will be implemented in several phases and investment plans,” specify Stellantis and CATL.
This joint venture is owned 50/50 by Stellantis and CATL and will “strengthen Stellantis’ LFP offering.”
The investment is estimated at “up to 4.1 billion euros” and the factory will be built at the Stellantis facilities in Zaragoza (northeast of Spain). As L’Usine Nouvelle reminds us, Citroën C3 Aircross, Opel Crossland and electric Opel Corsa are currently assembled at this plant. In 2026, it will produce small electric cars for the group on a new platform.
CATL, Chinese leader in batteries for electric vehicles
The creation of this new factory follows the signing of a strategic agreement between Stellantis and CATL in November 2023 for the local supply of LFP battery cells and modules for the production of electric vehicles in Europe, recall the two groups, which then They had established “a long-term collaboration.”
CATL CEO Robin Zeng was received on Monday afternoon by Spanish Prime Minister Pedro Sánchez, who had made no announcement at the time but had written in X: “We both agree on the need to advance in the decarbonization of our economies. CATL welcomes the initiative of the Fuerte government, which is committed to the green transition, which makes Spain an attractive destination for investment.
The decision of CATL and Stellantis confirms the leading role that Spain plays in the automotive sector. In 2023, 1.87 million cars were assembled in the country, the second largest European producer behind Germany (3.96 million), according to the Association of European Automobile Manufacturers.
Founded in 2011 in the city of Ningde on China’s east coast, CATL produces more than a third of the electric vehicle batteries sold worldwide. They are used in models from many manufacturers, such as Mercedes-Benz, BMW, Volkswagen, Toyota, Honda and Hyundai. CATL is currently building its second European factory in Hungary after opening its first in Germany in January 2023.
Source: BFM TV
