Battery maker CATL and automaker Stellantis agreed to invest up to €4.1 billion ($4.3 billion) in building a new joint venture lithium iron phosphate (LFP) battery plant in Zaragoza, Spain. It will be built in several phases.
The plant is set to start production by end-2026 at Stellantis’ Zaragoza site. It could reach up to 50GWh capacity, “subject to the evolution of the electrical market in Europe and continued support from authorities in Spain and the European Union,” the companies said in a statement on 10 December.
The 50-50 JV will boost Stellantis’ LFP offering in Europe with more high quality, durable and affordable battery-electric passenger cars, crossovers and SUVs in the B and C segments with intermediate ranges, they said.
In November 2023, Stellantis and CATL signed a non-binding MOU for the supply of LFP battery cells and modules for electric vehicle production in Europe and established a long-term collaboration.
“The joint venture has taken our cooperation with Stellantis to new heights, and I believe our cutting-edge battery technology and outstanding operation knowhow combined with Stellantis’ decades-long experience in running business locally in Zaragoza will ensure a major success story in the industry,” said Robin Zeng, chairman and CEO of CATL.
Stellantis has a dual-chemistry approach – lithium-ion nickel manganese cobalt (NMC) and LFP.
Photo: Standing: John Elkann, Stellantis chairman and Robin Zeng, chairman anad CEO of CATL. Seated: Maxime Picat, Stellantis chief purchasing and supplier quality officer and Libin Tan, head of CATL’s sales and marketing. Stellantis
