The Fraunhofer Institute for Systems and Innovation (Fraunhofer ISI) monitors battery production capacity in Europe on behalf of the German Ministry of Education and Innovation. If the current strong growth continues, European production capacity could rise to 1.5 TWh by 2030 - and a large part of this will be in Germany.
Construction of a planned superfactory in Heide, northern Germany, is set to begin next year.
The battery market has a lot of momentum. Putin's war of aggression against Ukraine has clearly shown the world how dependent many countries are on Russian raw materials for their energy supplies - first and foremost Germany, which has been struggling to get the gas it needs from elsewhere ever since. Meanwhile, the renewable energy sector has gained new momentum - concerns about energy shortages have prompted many countries to install more wind turbines and photovoltaic systems. Then there's climate change, with extreme weather making it clearer than ever to the people of Europe that our way of life urgently needs to change.
The topic of energy storage is relevant here. Whether for storing surplus wind and solar energy or batteries for electric vehicles, sales of which are finally gaining momentum: batteries are more important than ever.
In its new analysis, the Fraunhofer Institute for Systems and Innovation Research ISI concludes that battery production in Europe will increase tenfold to 1.5 TWh by 2030. Germany's contribution to battery production is likely to be slightly less than 400 GWh, more than any other country in the EU.
Germany accounts for the largest share of the currently planned battery plants.
Fraunhofer ISI's Dr. Lukas Weymann explains, "This rapid growth is mainly driven by European companies such as Northvolt, VW and ACC. these three companies alone have announced about one-third of European battery production capacity."
Sweden's Northvolt is currently planning to build its mega-factory in Heide, northern Germany, while two plants are already under construction in Sweden. The company specifies that the reason for this is the high percentage of renewable energy in the wind-rich state of Schleswig-Holstein.
The automakers themselves want to produce batteries locally in the future, rather than relying on Asian imports: VW is planning to build one plant each in Salzgitter, Germany, and Valencia, Spain. The locations of three more battery plants have yet to be determined, according to Wyman, but the planned maximum production capacity of 40 GWh that each of the five plants could achieve in the final phase has already been determined. Other manufacturers are also planning to build plants in Europe, as the European Union is generously granting subsidies as part of its "Projects of Common European Interest of Importance" (IPCEI) program.
The huge demand for lithium-ion batteries is still being met mainly by Chinese, Japanese and Korean manufacturers. But the new crown epidemic is a clear indication to Europeans that the global supply chain will soon be in trouble. In addition, a number of non-European companies are planning to set up superfactories for battery production: Ningde Times (China) and Tesla (US) are just two examples of the more than 40 manufacturers currently planning projects in 15 European countries, according to the announcement.
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