Is a mega-factory for electric car batteries possible in Europe?

Svolt Energy Technology, a Chinese firm, announces that it will invest 2 billion euros in a mega factory for electric vehicle batteries

The Asian company SVOLT Energy Technology, a spin-off of Great Wall Motors (one of the most important automobile firms in China) has announced, as reported on the portal “Electrive“, that it will launch a mega factory for electric vehicle batteries on the old continent.

The factory, which is expected to begin construction in the second half of 2020, will have a production capacity of 20 GWh from its commissioning (2022), with the possibility of increasing by another 4 GWh by 2025. This would be the second plant that SVOLT would have on the market, after the one currently being built in the Chinese province of Jiangsu, whose initial capacity will be 12 GWh with the possibility of being increased to 70 GWh.

According to statements by the firm’s General Director, Yang Hongxin, the company is in “talks with German and French manufacturers.” And it must be taken into account that the current electric automotive industry is dependent on this type of battery for its ever-growing fleets of electric cars.

That is why a mega battery factory does not seem to be a crazy idea, even though the location of this production center is not yet known. Furthermore, the company aims to reach a production capacity of 100 GWh by 2025. Taking into account the need of the automotive sector to have its suppliers close to their production hubs, this type of mega battery factories will grow in parallel with the needs of the electric vehicle market itself.