Volkswagen has stopped building a battery plant in Eastern Europe
Instead, the automaker has set its sights on the United States, where it will receive larger subsidies
The German automaker Volkswagen has suspended its plan to build a battery manufacturing plant in Eastern Europe. Instead, it will develop a similar project in the United States, where VW will receive large subsidies from the government.
Source. This was reported by the Financial Times.
According to the newspaper's sources, last week VW told EU officials that it would receive 9-10 billion euros in subsidies and loans from the United States under the Inflation Reduction Act and other programs.
The company is still waiting to see what the EU's response to Washington's initiatives to stimulate investment in green technologies will be.
Next week, the European Commission will unveil its own draft law in this area (Net Zero Industry Act), which is expected to increase support for key technologies that can help Europe reduce emissions and switch to carbon-free electricity production.
The preliminary document published last week by the European Commission did not meet expectations, experts say.
One of the FT's sources noted the absence of specific measures in the document, while another said that the US offers companies much more interesting conditions than Europe.
At the same time, the company confirmed its readiness to build battery production facilities in Europe.
"But we need the right conditions for this. That's why we are waiting to see what the EU will propose in the green bill," VW said.
Background. As reported, Volkswagen will build a plant for the production of Scout electric vehicles in the United States.
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