does not produce enough batteries

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Europe is determined: it will jump to the electric car. The ban on the sale of vehicles with combustion engines in 2035 is the definitive fact, but Euro 7 will come before that and a significant reduction in emissions that, however, is already rumored it will not be as hard as expected. But she has a problem: she has started the house from the roof.

electric yes or yes. In recent months we have been telling how Europe has clearly positioned itself for the electric car. Regulatory plans lead to this and although the possibility of making an exception for some vehicles or synthetic fuels is being considered, in practice they are not expected to have a real relevance in sales.

Another possibility is hydrogen, but Europe counts it as zero-emission cars and they lack combustion engines in their fuel cell version. The problem, in this case, is that hydrogen is difficult to transport and, at the moment, refueling it is as expensive as diesel. At least that’s what we could see with our own eyes in Germany.

at forced marches. The speed with which decisions have been made has resulted in a large part of the industry (at all levels) being unprepared. Manufacturers have launched into highly electrified or pure electric vehicles, but most are highly inefficient.

The companies in charge and the States are late when it comes to filling the roads of Europe with plugs. Something that we experienced first-hand in Spain and that the European Commission is determined to solve.

But also in batteries. Manufacturers strive to get raw materials at the best price, even falling into panic buying. The problem is that the production of lithium or nickel is limited and some brands are already associated with mining companies to guarantee supply. At the same time, they have gone a step further in the construction of plants for batteries.

but in deficit. Europe’s problem is that its commitment is so determined that it is not capable of generating a safety net for the volume of vehicles it needs. In fact, from Benchmark Mineral Intelligence they already assure that Europe has a deficit of 66 GWh in the production of batteries for its electric cars and that this will increase to 270 GWh in 2030. According to the consultant, Europe will demand 735 GWh in batteries by the end of this decade, 600% more of the current

According to the consultant, the problem is not only in the number of plants that are already built or will be built for the production of batteries. The biggest problem that Europe is finding is to guarantee a reliable supply chain. Quite a challenge when it is calculated that China already possesses 80% of rare earths and that its objective is to go from 562 GWh in 2022 in battery production to 2.2TWh by 2030.

Spain is entrusting the takeoff of the electric car to purchase aid.  It will not work

in the middle of the war. To this we must add that Europe is in the middle of a trade war between the United States and China. From the East they see how the electric car is a turning point to gain market share in a field that has always resisted them in Europe. In fact, voices like that of Carlos Tavares, CEO of Stellantis, are already calling for harsh tariffs on their products.

In the United States, however, they have chosen to close themselves to the Chinese market. Joe Biden has opted for a economic plan with an investment of 13,000 million for the manufacture of cars and another 24,000 million for batteries. With its Inflation Reduction Law, it hopes that its electric vehicles are manufactured within its borders. A movement that has caused Europe to be negotiating with the American country to establish the economic guidelines in terms of imports and exports.

Europe is determined: it will jump to the electric car. The ban on the sale of vehicles with combustion engines…

Europe is determined: it will jump to the electric car. The ban on the sale of vehicles with combustion engines…

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