Volkswagen wants to invest 10 billion euros in the production
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Volkswagen wants to invest 10 billion euros in the production of electric vehicles in Spain

Europe is the second largest market for electric vehicles after China and within the region, Spain remains the largest car market after Germany, making the establishment of local production in this country an important strategic goal for the Volkswagen Group. The company is ready to allocate 10 billion euros to expand production of electric vehicles and traction batteries in Spain.

    Image source: Volkswagen

Image source: Volkswagen

In March acc Reuters, Volkswagen management asked for a more modest amount – 7 billion euros, but now the company has secured the support of new partners and is ready to increase investments in the creation of new companies in Spain for the production of electric vehicles and traction batteries. In fact, the existing two car factories in Spain are gradually being converted to produce electric vehicles. In addition, the parent company will convert four plants of the SEAT subsidiary for 3 billion euros, which will also switch to the production of electric vehicles.

Volkswagen’s plant under construction in Spain will produce traction batteries with a total capacity of 40 GWh per year from 2026. By the end of the decade, the company will be able to employ around 3,000 people. Ideally, according to CEO Herbert Diess, the company would like to use the country’s entire production cycle, from the extraction and processing of lithium to the assembly of finished electric vehicles. The local energy company Iberdrola will invest around 500 million euros in the infrastructure of the battery plant. It will supply the partner with solar panels, some of which will supply electricity from renewable sources.

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Dylan Harris

Dylan Harris is fascinated by tests and reviews of computer hardware.

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