By producing its own batteries instead of importing them from China, the EU could significantly reduce CO2 emissions from the production of electric cars, a study suggests. Complete battery production in Europe would emit 37 percent less carbon dioxide than previous imports, according to a study by the Transport and Environment Agency (T&E). It takes a lot of energy to make battery cells.
According to the study, the main reason for potential CO2 savings is the “relatively high proportion” of renewable energies in Europe. After fully transitioning from oil, gas and coal, European battery manufacturers could emit 60 percent less carbon dioxide compared to previous imports.
According to the study, European companies have the technological capacity to produce batteries in the EU. However, half of planned EU production is at risk of going to the US or China due to lack of funding, Germany’s T&E managing director Sebastian Bock warned. The European Investment Bank (EIB) and the EU Battery Fund should be better positioned to “support investments in European gigafactories”.
Extraction of essential metals in the EU could reduce CO2 emissions, according to study. Transport routes are also shorter compared to previously imported nickel from Indonesia and lithium from Australia processed in China. T&E called for metals to be increasingly mined and recycled in Europe.
The EU’s goal is to meet at least ten percent of its needs for raw materials such as nickel and lithium from its own production by 2030. Processing efficiency should be at least 40 percent. For battery production, the EU relies on close cooperation with Norway, which has large reserves of raw materials in the North Sea.
In the German state of Schleswig-Holstein, Swedish manufacturer Nordvold is building a battery factory that is scheduled to be operational by 2026 – with €902 million in support from the federal and state governments. According to its own statements, Northvolt wants to manufacture “the world’s most environmentally friendly batteries” in Heide in the Ditmarschen district;
