UK on track to acquire $8 billion Giga battery factory
The UK is vying for a massive $8bn (£6.9bn) lithium battery factory, winning over European counterparts in the race to grow healthy electric car industries locally.
The global energy transition has prompted countries, such as the United Kingdom, the United States and Germany, to double their support for domestic electric vehicle markets.
The UK set up the Car Conversion Fund last year, through which it invested £1 billion in industrial electric vehicle supply chain projects back home.
ProLogium, a Taiwanese lithium battery manufacturer, is now exploring the location of its first major plant in Europe, which will see an $8 billion (£6.9 billion) investment over the next decade.
The plant is expected to be one of the largest on the continent, and the UK is currently working alongside France, Germany, the Netherlands and Poland for the center, in addition to the “thousands” of jobs it is expected to create.
The site’s target annual capacity is 120 GWh when completed.
Lithium batteries are important components in electric vehicles and have been described by Elon Musk as the “new oil.”
ProLogium, based in Taipei, was awarded $326m (£282m) to expand its global production capacity for electric car batteries last year, following a funding round.
“For most Asian companies actively operating abroad, one of the keys to success is a solid foundation rooted in strategic planning,” said Vincent Yang, Group CEO and Chairman. Related: OPEC+ cuts production despite Russia’s resistance
“Selecting a site requires not only technology and solutions appropriate for that market, but also an in-depth knowledge of local market requirements and trends.”
Some of the main things that ProLogium looks for are a combination of skilled labor, existing supply chain, energy security, and government incentives.
Similar to the computer chip industry, which is also central to the transition of electric vehicles, government incentives have been crucial to the domestic industry’s prosperity.
Gilles Normand, Vice President of International Development, Europe, added: “During my visit on the front lines to all the potential locations, I discovered very talented and highly motivated people.
“It was a pleasure to see the enthusiasm and understanding about our technology and future manufacturing plans. For sure, choosing the exact location finally will be a challenging process.”
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