The transition to electric vehicles is widely recognized as essential for reducing carbon emissions in personal mobility, supported by improvements in charging infrastructure, targeted purchase incentives, and the development of clear European standards. A primary question for Europe’s automotive sector is the sourcing of batteries, as current market shares are largely held by Asian manufacturers. Automotive Cells Company (ACC), with its 2,300 employees, has been working for more than five years to design and produce batteries locally, emphasizing resilience and long-term industry viability.
ACC’s Gigafactory in Hauts-de-France is advancing its production capabilities, despite longer timelines and higher costs than originally projected. The facility already supplies battery modules to several vehicle brands, and production output has doubled over the past two months. Initiatives to reduce scrap rates are yielding steady improvements through process optimizations and resource mobilization.
While the electric vehicle market continues to expand, growth has been slower than anticipated, creating uncertainty for European automakers. Companies including Stellantis and Mercedes have adopted a more cautious approach to medium- and long-term electrification projects, which has led to delays in new orders. Within ACC, this market hesitancy has resulted in a temporary slowdown in the upstream R&D teams in Bordeaux-Bruges and Nersac, prompting the use of short-time working measures, even as mass production accelerates at the Hauts-de-France site.
ACC is committed to strengthening Europe’s battery supply chain by prioritizing local procurement and production. In light of market conditions and product availability timelines, the company has paused plans for additional Gigafactories in Germany and Italy and is engaging with local teams to discuss potential project terminations.
Industry reports, including the Draghi report and the Competitiveness Compass, underscore the need for substantial investment in strategic sectors. ACC calls for a joint effort by public authorities and private innovators to secure the estimated €750–800 billion annual investment required to support the emerging European battery industry.
Source: ACC Emotion
