Several companies and car manufacturers are busy building new battery factories in Europe. However, according to the European environmental lobbying club Transport & Environment (T&E), there is a risk of overproduction if the emission standards are not tightened. That is why there are calls for stricter measures.
Research by T&E shows that there will be 38 battery factories in Europe with a total investment value of almost €40 billion. Together, these factories should eventually provide a production capacity of more 1,000 gWh per year by 2030. According to T&E, the demand for batteries under the current regulations will increase to 485 gWh in that same year, more than half of the production capacity. T&E believes that the battery industry is responding successfully to the ambitions of electric mobility in Europe, but the lack of stricter regulations will mean that the demand for batteries to support the investments will not be there. A question of the chicken or the egg, which ultimately slows growth.
The lobby group is therefore arguing for a stricter Euro 7 standard in 2025 and an additional binding target for 2027. In 2035, the environmental activists want the sale of fuel cars to be completely curbed. The Verband der Automobilindustrie, a representative of the German car industry, among others, made a comment on this. Strict standards are necessary according to car manufacturers, but technical feasibility also needs to be considered. Moreover, it is possible that cars become too expensive due to the stricter measures, so that people continue to drive longer in their old cars. That would not only be bad for the emissions figures, but also for the turnover of the car manufacturers.
Next month, the European Commission will present a proposal for the Euro 7 standard.