- The pilot plant will start in mid-2021 with a €200 million investment.
- The project aims for 48 GWh capacity by 2030, producing one million batteries annually.
- The initiative will receive €1.3 billion in public funding.
- Saft's share in the joint venture will reduce to 33% during commercial production.
Project Overview
Total, through its affiliate Saft, and PSA with Opel, plan to develop EV battery manufacturing in Europe by establishing a joint venture named Automotive Cell Company (ACC). The project will leverage advanced R&D to produce EV batteries starting in 2023, aiming for high energy performance and a lower carbon footprint.
Pilot Plant and Investment
The first phase involves R&D and building a pilot plant at Saft’s Nersac facility, scheduled to start in mid-2021 with a €200 million investment. This phase will create around 200 high-skilled jobs in France’s Nouvelle-Aquitaine region.
Future Expansion
The project plans to invest in a large-scale production plant in Hauts-de-France, initially producing 8 GWh and later expanding to 24 GWh. A second plant of equal capacity will be established in Germany, targeting a combined capacity of 48 GWh by 2030, equivalent to one million batteries annually or 10-15% of the European market. The total investment required is nearly €5 billion.
Funding and Support
The project is expected to receive €1.3 billion in public funding from French, German, and European Union authorities under the Important Projects of Common European Interest (IPCEI) initiative. The implementation is contingent on securing approvals from relevant antitrust authorities.
Market Context
In 2019, the European Union set ambitious targets to expand electric vehicle sales, with the automotive battery market projected to reach 400 GWh by 2030, corresponding to over seven million electric vehicles. Batteries represent more than a third of an electric vehicle’s added value, making strategic battery supply planning essential for European automakers.
