China-europe energy storage vehicle investment

Is China halting electric car investment in Europe?

SHANGHAI, Oct 30 (Reuters) - China has told its automakers to halt big investment in European countries that support extra tariffs on Chinese-built electric vehicles, two people briefed about the matter said, a move likely to further divide Europe.

Should China invest in battery factories in Europe?

Nuria Gisbert Trejo, director-general of CIC Energigune, a Spanish energy storage research institute, thinks Chinese investment in battery factories in Europe is a problem because they reduce Europe’s independence and autonomy in a key sector for the future.

Which country produces the most EV batteries in Europe?

Germany leads the production of EVs in Europe and accounted for nearly 50% of European EV production in 2023, followed by France and Spain (with just under 10% each). Battery production in China is more integrated than in the United States or Europe, given China’s leading role in upstream stages of the supply chain.

Why is China growing in Europe's auto industry?

China’s growing presence in Europe’s auto industry is a result of deals to supply car manufacturers in the region, where electrification is being driven by ambitious decarbonisation plans that aim to end the sale of combustion engine vehicles by 2035.

Why should China set up operations in Europe?

Setting up operations from scratch in Europe allows Chinese players to avoid tariffs and transport costs and shield themselves from political tension that could impede exports and imports, the report said.

Will China create competition for European carmakers?

Agnes Szunomar, the head of the Institute of Global Studies at Budapest’s Corvinus University, said that creating production centres within the European Union would give China a strong base from which to launch its own high-quality EVs into Western markets. “Chinese carmakers will definitely create competition for European carmakers,” she said.