‘DOMESTIC PRODUCTION’ MOVE FROM EUROPE TO THE AUTOMOTIVE INDUSTRY: BATTERY ECOSYSTEM IS BECOME A STRATEGIC PRIORITY…
Made in EU strategy strengthens
The preparations of the European Union are ongoing Industrial Accelerator Act (IAA) Within this scope, new regulations that will directly affect the automotive and battery industries are on the agenda. environmental organization Transport & Environment (T&E)operating in the field of energy security European Initiative for Energy Security (EIES) and European lithium battery industry representative Rechargea stronger and more binding law “Made in EU” demanded that the strategy be implemented.
According to the organizations, IAA will be one of the most important policy tools that will transform Europe’s sustainability, competitiveness and energy security goals into industry. It is emphasized that in the current period, where raw material and technology competition is accelerating on a global scale, Europe must re-strengthen its industrial leadership, maintain its long-term competitive advantage and secure the clean energy transition.
Battery technologies go beyond automotive
In the statement, it was stated that battery technologies form the basis not only of electric vehicle transformation, but also of strategic areas such as energy storage systems, power grid security, critical infrastructures, defense industry and advanced medical technologies.
However, it was pointed out that the European battery industry was going through a difficult period due to global competition and market pressures, and it was stated that urgent support mechanisms should be put into effect to preserve the current production capacity and accelerate new investments.
Foreign dependency in the supply chain will be reduced
The organizations argue that excessive dependence on third countries for critical minerals and battery raw materials poses a significant strategic risk for Europe. It is stated that Europe should strengthen energy and supply chain security, especially due to the possibility that certain countries may use critical raw materials as an element of geopolitical pressure.
In this context, the creation of a competitive battery ecosystem centered in Europe is seen as one of the basic elements of strategic independence. Thus, it is aimed to significantly reduce dependence on imported fossil fuels.
Electric vehicle technologies are declared a priority sector
Among the recommendations is the support of electric power transmission technologies, consisting of batteries, electric motors, power electronics and control systems, as a strategic sector.
It is stated that the technologies in question have “dual-use” potential not only for the automotive industry, but also for energy systems, critical infrastructures, defense applications and health technologies.
Europe wants to establish the entire production chain within its own structure
The organizations argue that the new regulation should cover the entire value chain, not just battery production. Accordingly, Europe’s;
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Extraction of critical minerals,
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Refining processes,
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Battery raw materials,
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Production of anode and precursor materials,
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Battery cell production,
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Recycling and recovered battery metals
It is aimed to create competitive production capacity at all stages such as.
Priority to European production in public incentives
Stating that the “Made in EU” approach should not remain just a discourse, the organizations recommend that public supports be reorganized to encourage European production.
Accordingly;
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Electric vehicle incentives,
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tax advantages,
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public procurement
It is requested that priority be given to products produced in Europe in support mechanisms such as.
It is also requested to remove some of the exceptions in the current draft and to create stronger protection mechanisms that will prevent third countries from exceeding the regulations through indirect production models or different investment structures.
Open door to foreign investments, but with certain conditions
The organizations also emphasize that they are not completely against foreign direct investments. However, it is stated that large investments in strategic sectors should directly contribute to the European economy.
In this context, investors;
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Europe-based partnership structures,
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Technology transfer,
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Creating local employment,
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Using local supply chains
It is recommended that conditions such as:
What does it mean for the automotive industry?
These recommendations, brought to the agenda within the scope of IAA, aim to ensure that the European automotive industry has a more independent structure, especially in the production of electric vehicles and batteries. By encouraging domestic production, strengthening supply chains and increasing European-based technology investments, new investment opportunities are expected to arise for electric vehicle manufacturers and battery suppliers in the coming period.
Automobile Magazine – English News
Source link 2026-07-08 06:08:00
