EU’s reliance on Chinese EV battery tech deepens with CATL’s expansion in Spain

Core Insights - Europe's dependence on Chinese electric vehicle (EV) technology is increasing as CATL plans to send 2,000 workers to Spain for a €4 billion plant in collaboration with Stellantis [1][2] - The project highlights Europe's reliance on China for critical EV infrastructure and China's intent to maintain control over its intellectual property [2][3] Group 1: Project Details - The factory in Figueruelas, near Zaragoza, will employ approximately 3,000 local staff once operational, but concerns exist regarding the EU's ability to gain lasting technological benefits [3] - The plant is expected to start production in 2026 and will manufacture lithium-iron-phosphate batteries [6] Group 2: Financial Aspects - The Zaragoza project is receiving €298 million in funding from the EU's NextGeneration initiative [4] - CATL is also constructing a €7 billion plant in Hungary, indicating significant investment in European battery production [4] Group 3: Industry Concerns - Critics express concerns that Europe may not gain substantial technological advancements from the project, with some arguing that the Spanish car sector has limited alternatives [5] - Local officials report that CATL has been hesitant to share information, citing fears of industrial espionage [6]