03 Sep Opel battery cell plant to get $500 mln German govt grant
Opel will receive a 437 million euro ($518 million) government grant for its battery cell factory in Kaiserslautern, Germany’s economy ministry said on Thursday, as part of a wider European initiative to create a homegrown battery industry.
The market for batteries destined for electric vehicles (EV) is dominated by Asian manufacturers but the European Union, and Germany in particular, are keen to create European battery giants as the transition to cleaner transport gathers pace.
Since 2019, Berlin has committed to invest a total of 3 billion euros in battery cell production projects expected to create 13 billion euros of private investment and 10,000 jobs.
For Opel’s Kaiserslautern plant, 51 million euros will come from regional funds from the state of Rheinland-Pfalz, according to the ministry statement, with the rest from federal coffers.