Stellantis and CATL have agreed on a joint venture to build a lithium iron phosphate (LFP) battery plant in Zaragoza, Spain. According to the company, the site will be located close to Stellantisʼ manufacturing facility.
Four-billion-euro investment
The project will be implemented in several phases and aims to achieve a completely carbon-neutral production. The goal is to start manufacturing at the end of 2026 and then gradually increase capacity up to 50 gigawatt-hours. Production will be primarily targeted at the European battery electric vehicle market. The investment is expected to be up to 4.1 billion euros.
LFP cells for affordable electric vehicles
The companies involved justify the move with the growing demand for electric vehicles in Europe. According to Stellantis, the project is part of its “Dare Forward 2030” plan. By producing LFP batteries, the company aims to reduce the cost of electric mobility. Stellantis intends to serve different market segments through a dual chemistry strategy with LFP and NMC cells.
