Stellantis and CATL will invest 4.100 billion in a gigafactory in Zaragoza

La Alliance between Stellantis and CATL has taken a decisive step in the electrification of the automotive sector in Spain, with the confirmation of a €4.100 billion investment for the construction of a battery gigafactory in Zaragoza. This project, which will be developed through a 50/XNUMX joint venture between the two companies, reaffirms Spain as a strategic epicentre in the production of technology linked to sustainable mobility.

The gigafactory will be focused on the manufacture of Lithium iron phosphate (LFP) batteries, a technology that stands out for being more affordable and durable, although with lower energy density compared to other more expensive options. Its location will be strategically integrated into the current Stellantis facilities in Zaragoza, which will allow synergies for the production of mid-range electric passenger cars, SUVs and crossovers at competitive prices.

Stellantis and CATL's investment in Spain is a game-changer…

Plant, whose production is planned for the end of 2026, will have an initial capacity that could climb until the 50GWh, depending on the evolution of the electricity market in Europe and the support of local authorities and the European Union. This is a key step towards zero-emission mobility and strengthening the competitiveness of the automotive sector in Spain. Today, the Zaragoza factory will become the largest battery plant in the country, ahead of other initiatives such as Volkswagen's in Sagunto.

La LFP technology es Key to reducing the cost of electric vehicles, which will allow Stellantis to position itself in the B and C segments with models accessible to a wider audience. This approach responds to the company's Dare Forward 2030 strategic plan, which places sustainability and affordability as pillars to consolidate its leadership in the sector.

Institutional support and key alliances

The project has received strong support from the Spanish Government., which has allocated nearly 300 million euros in aid to Stellantis through different PERTE calls for the Electric and Connected Vehicle (PERTE VEC). The collaboration between public and private institutions has been decisive in ensuring that this historic investment materializes in Spain.

Furthermore, the recent meeting between the President of the Government, Pedro Sánchez, and the CEO of CATL, Robin Zeng, has been key to unblocking the last details of the agreement. At this meeting, Sánchez stressed the importance of projects such as this to consolidate the energy transition and the reindustrialisation of the automotive sector in Spain.

Impact on industry and employment

This investment not only ensures the future of the Stellantis plant in Zaragoza, but also that of other factories of the group in Spain, such as those in Vigo and Madrid. In the case of Zaragoza, the gigafactory will boost both direct and indirect employment in the area, ensuring the viability of long-term industrial plans. It is estimated that the economic impact of the project will be crucial to position Spain as a leader in electromobility within Europe.

In parallel, The agreement also strengthens technological cooperation between Stellantis and CATL, offering an opportunity to develop new energy solutions that could be rolled out to other regions. As CATL President Robin Zeng said, “The partnership with Stellantis is an example of how our technology can contribute to the transition to a more sustainable future.”

A promising future for electric mobility

The construction of this gigafactory comes in a crucial moment for the European electric vehicle market, which, although still facing challenges, shows steady growth. The commitment to a more affordable technology such as LFP responds to the need to democratize access to electric vehicles, a key element in achieving carbon emission reduction goals on the continent.

This project not only consolidates Stellantis and CATL as leaders in technological innovation, but also positions Spain at the forefront of industrial transformation towards cleaner and more sustainable mobility. The Zaragoza plant will undoubtedly be a turning point on the path towards global electrification.

Source - stellantis

Images | Stellantis