The European Commission announced on 5 May an action plan aimed at promoting the robust and sustainable development of the automotive sector and helping to unlock its innovative capacity. The plan will provide 1.8 billion euros, specifically for the creation of a competitive supply chain of raw materials for batteries.
According to the communiqué issued by the European Commission on the same day, the action plan is based on the European Commission launched in January this year, 'the future of the European automotive industry strategic dialogue', aims to improve the competitiveness of the European automotive manufacturers through the promotion of cooperation, the promotion of targeted financing and simplification of regulation, etc..
According to the introduction, the programme will provide 1.8 billion euros for the creation of a competitive battery raw materials supply chain, so that the cost competitiveness of the EU-produced electric vehicle battery cells and components in the short term to improve. The plan also includes a 'battery booster' package, through direct funding and other forms of support for the production of electric vehicle battery cells and components.
In addition, the EU plans to introduce legislation this year to specify local content requirements for EV batteries and their components.
