{"id":53009,"date":"2025-04-02T10:22:40","date_gmt":"2025-04-02T08:22:40","guid":{"rendered":"https:\/\/www.acea.auto\/?post_type=news-articles&#038;p=53009"},"modified":"2025-04-02T10:22:41","modified_gmt":"2025-04-02T08:22:41","slug":"can-europes-ev-battery-sector-make-a-competitive-comeback","status":"publish","type":"news-articles","link":"https:\/\/www.acea.auto\/news\/can-europes-ev-battery-sector-make-a-competitive-comeback\/","title":{"rendered":"Can Europe\u2019s EV battery sector make a competitive comeback?"},"content":{"rendered":"\n<div class=\"intro block-container\"><p>Europe\u2019s EV battery sector continues to face significant challenges in scaling up production and driving innovation, exposing structural weaknesses that put the EU\u2019s green mobility ambitions at risk.<\/p><\/div>\n\n\n\n<div class=\"cntnt block-container\">\n<p>Efforts to boost European battery production have so far fallen short of restoring EU competitiveness. \u201cBattery production is a highly complex process in which it is particularly challenging to regain a competitive position that has been lost,\u201d according to a new <a href=\"https:\/\/www.epc.eu\/en\/Publications\/The-art-of-turning-the-corner-Towards-a-competitive-comeback-for-Euro~63b370\" target=\"_blank\" rel=\"noreferrer noopener\" class=\"broken_link\">\u00a0policy paper<\/a> from the European Policy Centre (EPC). \u00a0<\/p>\n\n\n\n<p>Global capacity reached 2.5 TWh in 2023\u201425% higher than the previous year and driven primarily by Chinese dominance in the sector. With cheaper, mass-produced batteries and tight control over critical raw materials resulting from their first-mover advantage, China continues to outpace Europe at every step of the value chain.&nbsp;<\/p>\n\n\n\n<p>Batteries are central to the green transition, and replacing internal combustion engines with electric motors is essential to decarbonising road transport. Battery- electric vehicles (BEVs) are significantly more energy-efficient and remain a key lever for reducing emissions. Yet battery packs still account for a large share of total vehicle cost, making competitiveness in this sector vital.&nbsp;<\/p>\n\n\n\n<p>To respond to these challenges, the policy paper puts forward four priority actions:&nbsp;<\/p>\n\n\n\n<ol class=\"wp-block-list\">\n<li>Streamline regulation and funding to speed up industrial scale-up; &nbsp;<\/li>\n\n\n\n<li>Reduce strategic dependencies on critical materials through more innovative supply chain design; &nbsp;<\/li>\n\n\n\n<li>Strengthen EU-based recycling capacity; and &nbsp;<\/li>\n\n\n\n<li>Invest ambitiously in next-generation battery technologies. Without urgent and coordinated action, Europe risks falling irreversibly behind in a sector that is simply too strategic to lose.&nbsp;<\/li>\n<\/ol>\n\n\n\n<p>You can consult the EPC paper here: <a href=\"https:\/\/www.epc.eu\/en\/Publications\/The-art-of-turning-the-corner-Towards-a-competitive-comeback-for-Euro~63b370\" target=\"_blank\" rel=\"noreferrer noopener\" class=\"broken_link\">https:\/\/www.epc.eu\/en\/Publications\/The-art-of-turning-the-corner-Towards-a-competitive-comeback-for-Euro~63b370<\/a>.&nbsp;<\/p>\n\n\n\n\t\t<blockquote class=\"shareable-blockquote\">\n\t\t\t<div class=\"content\">Europe\u2019s EV battery sector continues to face significant challenges in scaling up production and driving innovation, exposing structural weaknesses that put the EU\u2019s green mobility ambitions at risk.<\/div>\n\t\t\t<div class=\"share-links\">\n\t\t\t\t<div class=\"share-buttons\"><a class=\"twitter resp-sharing-button__link\" aria-label=\"\" 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