Stellantis bets on the future of batteries. The Italian-French automotive giant has signed a agreement Chinese Catl Group to create one a joint venture the value of 4,1 billion euros, aimed at building a lithium iron phosphate (LFP) battery gigafactory in Zaragoza, Spain. The production site, expected to start operating by the end of 2026, will focus on the production of batteries for small electric vehicles. Another plant under development in Termoli, created by the joint venture ACC (Stellantis, Mercedes-Benz and TotalEnergies), will produce batteries for large vehicles.
At Piazza Affari, the title Stellantis gains 0,59%.
Stellantis: a 4,1 billion gigafactory in Zaragoza
The agreement, which provides for equal participation between Stellantis and Cate, aims to strengthen the offer of LFP batteries for electric vehicles. This type of battery, economical and efficient, is ideal for vehicles with intermediate autonomy such as city cars, crossovers and SUVs. The Zaragoza plant, which aims to become completely carbon neutral, will be built in several phases, with progressive investment plans. The production will start by the end of 2026 , Initial capacity of the plant will be of 50GWh, with the possibility of expansion based on the demand of the European market and the support of the Spanish and European authorities.
As early as November 2023, the two companies signed a memorandum of understanding for the local supply of LFP cells and modules, establishing a long-term strategic collaboration that aims to develop advanced technologies for electric vehicles and strengthen the battery value chain in Europe.
Meanwhile, the government Spanish has approved grants for over 357 million euros for the three Stellantis plants in Spain, with a special focus on the Zaragoza gigafactory. Prime Minister Pedro Sánchez confirmed the importance of the agreement for the automotive industry and electrification, placing it in a broader context of investments of over 5,5 billion euros in decarbonization and reindustrialization projects, with the aim of reaching 5,5 million electric cars by 2030.
The Termoli gigafactory: where is it at?
Italy is also at the center of Stellantis' plans for electrification. A Termoli, the group is working with Accor (the joint venture with Mercedes-Benz and TotalEnergies) to create a gigafactory which will be crucial for the production of car's battery performance. Despite some delays related to the trend of the electric car market, ACC has confirmed that the plans for the Italian site will be made official in first half of 2025The Termoli plant will focus on cost optimization and chemical innovation, aiming to diversify its offering to meet the needs of the European market.
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“Stellantis is committed to pursuing a decarbonized future, leveraging all available advanced battery technologies, to offer customers competitive products in the electric vehicle sector,” said Stellantis Chairman, John Elkann -. This important joint venture with Catl will allow us to produce innovative batteries in a plant that is already a leader in the clean and renewable energy sector, thus contributing to a 360-degree sustainable approach. Thanks to all those who have made this project possible, including the Spanish authorities for their continued support”.
“This joint venture takes our collaboration with Stellantis to the next level. Our cutting-edge battery technology, combined with our excellent operational know-how and Stellantis’ experience, is a winning combination. Our long-standing experience in Zaragoza will ensure significant success in the sector,” added the CEO. Zeng.
