PSA Group, Opel and Saft will build two battery factories. 32 GWh in Germany and France

After the era of the steam engine, the era of lithium cells came. The European Commission has agreed that a "battery alliance" of PSA, Opel and Safta will build two similar battery factories. One will be launched in Germany, the other in France. Each of them will have a production capacity of 32 GWh per year.

Battery factory throughout Europe

The total production of cells with a capacity of 64 GW / h per year is enough for the batteries of more than 1 million electric vehicles with an actual flight range of more than 350 kilometers. This is a lot when you consider that in the first half of 2019, the entire PSA group sold 1,9 million vehicles worldwide – 3,5-4 million vehicles sold annually.

The first of the plants will go into operation at the Opel plant in Kaiserslautern (Germany), the location of the second has not been disclosed.

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European Commission approval it's not just a nod "Okay, do it", but assumes co-financing of the initiative in the amount of up to 3,2 billion euros. (equivalent to PLN 13,7 billion, source). This money is especially important for Opel, as components for combustion-engine vehicles are manufactured at the Kaiserslautern plant and demand for the latter is declining.

The factory workers have been unsure of their future for several years now (see starter photo).

Battery production in Germany could start in four years, in 2023. The Northvolt and Volkswagen battery plant is due to start in the same year, but is expected to have an initial capacity of 16 GWh with the potential to increase to 24 GWh per year.

Opening photo: strike at the Kaiserslautern plant in January 2018 (c) Rheinpfalz / YouTube

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