The European Commission has announced a major investment of €852 million (approximately $926 million) to support six innovative projects aimed at strengthening Europe’s capabilities in electric vehicle (EV) battery cell production.
The funding comes through the Important Projects of Common European Interest (IPCEI) framework and will focus on advancing the battery value chain, including improving cell chemistry and manufacturing processes, and scaling up recycling technologies. The selected projects involve companies operating across multiple EU member states and are expected to play a pivotal role in the continent’s transition to clean mobility.
The initiative is designed to enhance the EU’s strategic autonomy in the battery sector and reduce reliance on external suppliers at a time when global demand for EV batteries is soaring. According to the Commission, the supported projects will also contribute to the European Green Deal and the EU’s objective to become climate neutral by 2050.
“With each Innovation Fund call, we’re demonstrating the key role of the EU Emissions Trading System in making our industry innovative and fit for the future,” said Wopke Hoekstra, Commissioner for Climate, Net Zero and Clean Growth. “This first call dedicated to batteries shows we are committed to deliver on the Industrial Action Plan for the European Automotive Sector.”
In addition to supporting technological innovation, the projects are expected to spur job creation and long-term investment in battery research and development, manufacturing infrastructure, and circular economy practices.
The IPCEI will be implemented in full compliance with EU state aid rules, and the projects will be closely monitored to ensure timely deployment and tangible impact. The first results are anticipated within the next few years, with potential for additional phases of funding as the technologies mature.
