The German federal government is planning to discontinue funding for battery research through its Climate and Transformation Fund (KTF) starting in 2025. According to the current multi-year financial plan, no new funds are allocated for this research area in the special fund, which has previously covered the majority of activities in this field.
A spokesperson for Research Minister Bettina Stark-Watzinger confirmed that “with the remaining funds in this budget line, no new battery research projects can likely be started from 2025 onwards.” However, the ministry assured that all ongoing projects would continue to receive funding. Some new initiatives may still be possible in the current year, with funding commitments extending to 2028.
The announcement has alarmed the German automotive industry. Hildegard Müller, President of the German Association of the Automotive Industry (VDA), expressed concern, stating that “while the government spoke of making Germany a center for battery cells just a year ago, research funding is now set to be completely eliminated in the future.”
This decision contradicts the government’s official stance on battery technologies, which are described as “key technologies” in the financial plan up to 2028. The Research Ministry had previously emphasized the importance of researching and applying these technologies to ensure “technological sovereignty.”
The potential funding cut comes at a time when other countries, such as China and South Korea, are heavily investing in battery technology, which is crucial for electric mobility and renewable energy storage. According to the ministry’s “Battery Research Framework Concept,” the battery system contributes about 40 percent to the value creation of electric vehicles, making it vital for the future of the German automotive industry.
Members of the Green Party and FDP have expressed hope that these cuts might still be averted during the parliamentary process. However, unlike the annual federal budget, the financial plan is not subject to parliamentary approval, with the Finance Ministry only providing information about it.
The decision to potentially end battery research funding has raised questions about Germany’s commitment to technological innovation in a critical sector for its automotive industry and energy transition efforts.
Source: spiegel.de (German language), table.media (German language)
