34 Northvolt-Sized Battery Factories Could Be Lost If EU Scales Back EV Targets — Study
AI-summarised brief · reviewed before publication
A new report by Transport & Environment warns that scaling back EU car climate rules could put 34 potential Northvolt-sized battery factories at risk. The report models the industrial opportunity cost of weakening EU car CO2 targets and finds that electric car production in the EU could halve in 2030. Weakening the 2035 emissions target would cut expected BEV production by 46% in that year, resulting in a loss of up to 47,000 jobs. The EU's move to cut EV targets would see local battery offtake dwindle, with potential battery production capacity shrinking by more than two-thirds in 2030. The report estimates that the reduced EV uptake could cost the EU an extra €50 billion in oil import costs between 2026 and 2035.
💡 Why It Matters
- · Europe's battery industry is at risk of being outpaced by China if the EU weakens its car climate targets.
- · Strong car CO2 rules are necessary to anchor EV manufacturing within the EU's borders and build a new cleantech industrial base.
