CATL has announced that their second European EV battery plant will be located in Debrecen in eastern Hungary.
CATL plans to invest 7.34 billion euros into the 100 GWh facility.
The 221-hectare facility will supply cells and modules to multiple European automakers, including Mercedes-Benz, BMW, Stellantis and Volkswagen.
CATL hopes that this new plant will allow the company to better cope with the growing battery demands from their European customers.
CATL has a sole European facility based in Germany with a 14 GWh capacity.
The company plans to work with local partners to create a sustainable and circular supply chain for battery production focused on Europe.
Dr Robin Zeng, founder and Chairman of CATL, had this to say about the new plant announcement:
There is no doubt that our plant in Debrecen will enable us to further sharpen our competitive edge, better respond to our European customers, and accelerate the transition to e-mobility in Europe. The greenfield project in Hungary will be a giant leap in CATL’s global expansion, and also an important step in our efforts to make an outstanding contribution to the green energy drive for humankind.
The company hopes to begin construction by the end of this year.
However, the deal is still subject to shareholder approval.