Lack of battery production a major competitive disadvantage for Europe
The consulting firm speaks of “regional monopolization” of the global market by Asian battery producers. In the worst case, according to Deloitte, this could also mean restricted access to the latest battery technology. The authors express concern about the numerous failed or postponed construction plans for European battery factories. The most prominent example in Germany is the bankruptcy of the Swedish manufacturer Northvolt, which had already begun building a large factory in Schleswig-Holstein.
A plea for targeted industrial policy
Left to its own devices, industry would likely be overwhelmed by the catch-up race, according to the study. In the consultants’ view, what is needed is a combination of coordinated European industrial policy with large-scale investment and increased efforts to develop the next generations of batteries.
The heads of European battery manufacturers Power Co, Verkor and ACC called for European subsidies for the sector modeled on China and the United States: one billion euros for building production capacity, 1.8 billion for the first three years of production, and further grants from 2028 to 2030 to safeguard long-term competitiveness. According to the appeal, part of this funding has indeed been planned by the EU, but the companies would like more. “This is not just industrial, it is geopolitical,” the appeal said.
Translated automatically from German.