EU, "To Produce 7 Million Electric Vehicle Batteries Annually by 2025"

Self-Sufficiency in Batteries Following Semiconductors...Reducing Dependence on China
15 Battery Factories Under Construction in Sweden, Germany, Hungary, and More

[Image source=Reuters Yonhap News]

[Asia Economy Reporter Hyunwoo Lee] The European Union (EU) has decided to establish a self-sufficient system for electric vehicle batteries following semiconductors. This measure aims to prepare for supply shortages and reduce dependence on Asian countries such as China.

According to foreign media including Germany's economic newspaper Handelsblatt on the 11th (local time), Maros Sefcovic, Vice-President of the European Commission, Peter Altmaier, German Minister for Economic Affairs, and Bruno Le Maire, French Minister of Finance, stated in a joint declaration that "The EU aims to produce more than 7 million electric vehicle battery cells annually by 2025" and "will build economic sovereignty and independence in the strategically important electric vehicle industry."

Handelsblatt reported that this measure is part of a strategy to reduce supply chain dependence on China, which controls over 80% of the global lithium-ion battery cell market, amid rapidly increasing electric vehicle demand within Europe. In this regard, European car manufacturers such as BMW and Fiat are reportedly constructing 15 large-scale battery cell factories in Sweden, Germany, Hungary, and other locations, in cooperation with 42 countries and companies including 12 EU member states.

Earlier, on the 9th, the EU announced plans to produce more than 20% of the world's semiconductors within Europe by 2030 to reduce dependence on China and other Asian countries for vehicle semiconductors and rare earth supply chains.

This content was produced with the assistance of AI translation services.