Volkswagen considering US location for battery plant over Europe

Mar 2023

German car manufacturer Volkswagen is reportedly considering prioritising the US over Europe as its next location for a battery production facility. The primary reason for the strategic reassessment lies in the potential subsidies and benefits the company may receive as part of the Inflation Reduction Act (IRA) and other federal policies offered by the Biden administration, which Volkswagen estimates may reach up to EUR10 billion (USD10.5 billion). The aggressive financial incentives in the US are likely to attract more European battery business across the Atlantic, with the industry expecting a relatively swift response from the EU and European Commission (EC) in the form of a competitive financial package. As Europe’s largest carmaker by volume, Volkswagen has previously stated…



The full article is available to Rho Motion Members on the Membership Platform. If you are not a Member and would like to find out more, click here.



Image credit: Adobe Stock