Electric cars, the strategies of Volvo, Renault, Nissan, Stellantis on batteries
In Italy Stellantis would be in talks with the Italian government to invest in the production of batteries for electric vehicles
Three years ago, Europe, one of the largest electric vehicle markets in the world, depended entirely on battery imports for its auto industry. Now, however, it is in a hurry to reduce this dependence with the help of local production capacity. For this reason, earlier this year, the EU confirmed the plans for several gigafactories that would produce 7 to 8 million batteries for electric vehicles per year. According to European Commission Vice President Maros Sefcovic , European carmakers would be fully covered by local battery production by 2025.
THE AGREEMENT BETWEEN VOLVO AND NORTHVOLT FOR A FACTORY BY 2026
Sefcovic may have anticipated a little too much in time, but it is undeniable that a lot of news about batteries is coming in these days. Volvo and Swedish battery manufacturer Northvolt recently said they have reached an agreement to build a battery factory in Europe by 2026. Between 2024 and 2026, the Swedish carmaker will use Northvolt-made batteries for 14 GWh per year. year. However, the capacity of the new plant will be much higher, amounting to 50 GWh per year. Volvo plans to only produce electric cars by 2030, so it would make sense to secure the supply of batteries in advance.
FOR RENAULT UNDERSTANDING WITH THE CHINESE OF ENVISION
Renault, which also has ambitious goals in the electric vehicle sector, announced it has signed an agreement with a Chinese company, Envision, to build a battery factory in France. The plant will initially have a capacity of just 9 GWh per year when completed in 2024, but will be expanded to 24 GWh by 2030.
Meanwhile, the French automaker is also working on another front: it has signed a preliminary agreement with battery startup Verkor to jointly develop batteries for Renault's future electric models.
NISSAN BETS ON THE UNITED KINGDOM, A GIGAFACTORY BY 2024
Outside the EU, Nissan announced an expansion of its electric vehicle manufacturing facility in the UK to produce more batteries from 2024. According to the BBC, which cites some industry sources, the expansion could bring the plant's capacity to that of the new Renault battery factory in France.
Northvolt earlier this month raised about $ 2.75 billion in a funding round that saw the participation of investors including Volkswagen and Goldman Sachs. The battery maker is now worth around $ 11.75 billion, according to CNBC . Especially after signing $ 27 billion in deals with automakers, including Volkswagen and BMW.
IN ITALY STELLANTIS IN NEGOTIATIONS TO BUILD A BATTERY FACTORY IN TURIN OR MELFI
In Italy “Stellantis would be in talks with the Italian government to invest in the production of batteries for electric vehicles. According to press rumors reported by Bloomberg, a private meeting was held in Rome last week between Stellantis president John Elkann, CEO Carlos Tavares and economic development minister Giancarlo Giorgetti focused on the future of electric mobility in the country " , as stated in the Sole 24 Ore . On this point, in an interview with La Stampa, the Minister of Ecological Transition Roberto Cingolani stressed that “the government thinks that it is good for Italy that the gigafactory is built in Italy. Where to build it depends on the choices of the producers, in this case Stellantis, and of the territories concerned. On the one hand, there are areas such as Turin that have the skills and a consolidated tradition in the automotive sector. On the other hand, there are territories in the South that have serious problems of converting their production plant '”.
THE EU STRATEGY: SECONDS AFTER CHINA
According to Sefcovic, Europe is set to become the second largest battery producer in the world, after China. To this end, the UR will spend approximately $ 24 billion to finance the construction of battery production capacity in 12 Member States, including the supply of battery minerals.
THE CHALLENGES TO FACE
The problems with this strategy are primarily linked to the supply chain crisis that has plagued many industries globally. MarketWatch quoted UBS in a recent report on the subject as saying that supplying batteries in a context of increasing demand for electric vehicles will lead to "regional tightness this year and global shortages by 2025".
And that's not all, because according to the Swiss bank, automakers will need 70% more batteries than previous forecasts if they are to meet the uptake targets for electric vehicles such as a 20% share of sales by 2025 and 50% in 2030.
THE NEW EU STANDARDS FOR BATTERIES
Meanwhile, the EU is preparing tougher environmental standards for electric vehicle batteries, which means they will become more expensive at a time when carmakers are looking for ways to make them cheaper. This will likely mean a greater burden on governments from an incentive perspective, and a greater tax burden for potential buyers of electric vehicles.
This is a machine translation from Italian language of a post published on Start Magazine at the URL https://www.startmag.it/energia/batterie-le-strategie-di-volvo-renault-nissan-stellantis-e-del-colosso-northvolt-sui-veicoli-elettrici/ on Sun, 04 Jul 2021 06:34:47 +0000.