Thomas Bareiß, Parliamentary State Secretary at the Federal Ministry for Economic Affairs and Energy, and Dr Nicole Hoffmeister-Kraut, Economic Affairs Minister of the State of Baden-Württemberg, today met in Reutlingen to hand over two symbolic approval notices for the battery projects of ElringKlinger AG and Manz AG, both funded by the Federal Ministry for Economic Affairs and Energy. The State of Baden-Württemberg is also contributing funds.

The two projects are part of the second European IPCEI on battery cell manufacturing. The Economic Affairs Ministries of the Federation and of the State of Baden-Württemberg are providing a total of around €33.7 million to ElringKlinger’s project (Federal Government: €23.6 million; state government: €10.1 million) and some €71.3 million to the project run by Manz AG (Federal Government: €49.9 million; state government: €21.4 million).

State Secretary Bareiß said: “Thanks to the two European IPCEIs, the emerging battery value chain is continuing to take shape both in Europe and in Germany. The focus is not only on cell manufacturing, but on the entire value chain – including aspects such as access to raw materials, manufacturing capabilities and efficient battery cell control. Battery cell housings and new high-tech applications are another focal point, as is the creation of an entire production line for battery cells – something that barely a handful of companies are capable of today.

ElringKlinger’s and Manz’s IPCEI projects are helping to make significant progress on core elements of the battery industry.

Three years ago, when Federal Minister for Economic Affairs Peter Altmaier announced his initiative to build up European leadership in battery cell technology, few people had high hopes. I am delighted that things are working out and that Baden-Württemberg is one of those leading the field.

We can take pride in projects like these: by opening up new fields of business, the two companies are helping to secure local value creation and employment – especially in these times of technological change.”

Minister Dr Nicole Hoffmeister-Kraut said: “Battery technology is a key enabling technology of the future – it will prove to be indispensable across all areas of industrial value creation. Our aim is for German and European production facilities to cover around 30% of the global demand for battery cells by 2030. We want Baden-Württemberg to be at the forefront of developments in this field and to play a key role along the entire value chain. The IPCEI projects by Manz and ElringKlinger will enable us to take a major step towards this goal.”

Each of these projects will make a significant contribution to building a sustainable and competitive battery industry in Europe:

Manz AG’s ‘Lithium Battery Factory of the Future’ project aims to develop highly efficient machines and processes for the fully automated production of lithium-ion batteries of generations 3 and 4. The manufacturing processes and the associated equipment are based on a new, digitalised and cost-effective business model.
ElringKlinger will contribute to a competitive European battery value chain by developing and industrialising an innovative cell housing design. The novel design will make it possible to reduce the number and complexity of components contained in these cell housings and the input of energy-intensive raw materials such as aluminium and copper.

Since the beginning of 2019, the Federal Ministry for Economic Affairs and Energy – together with the European Commission and other EU Member States – has been pursuing two IPCEIs (Important Projects of Common European Interest) on research and development in the field of battery cell manufacturing. The Ministry is providing up to €3 billion to promote the development of innovative battery cell production facilities. German companies play a crucial role in both projects. In Germany alone, the two IPCEIs will promote innovation across fifteen assisted companies by mobilising a total of more than €13 billion in investments. In this way, the projects will lead to the creation of several thousands of skilled jobs across Germany, fostering new and environmentally friendly value creation models.

Four EU-approved projects from the first battery IPCEI have already been launched, five from the second IPCEI. Approval notices for further German IPCEI projects will be handed over in the coming weeks.