Why did Automotive Cells Co. cancel its gigafactory projects in Germany and Italy?

Automotive Cells Co. cancelled its planned battery gigafactories in Germany and Italy because it does not expect conditions to restart the projects to be met, according to an emailed statement.

What is Stellantis doing regarding its ACC employees affected by the cancelled projects?

Stellantis stated that current ACC employees will be offered employment within the company and has taken measures to protect employees in a challenging European automotive market.

What is ACC's current focus after cancelling the German and Italian projects?

ACC is focusing on improving efficiency and competitiveness at its French operations, including the Billy-Berclau/Douvrin site.

Home / Business and Economy / EV Battery Giant Scraps German, Italian Gigafactories

EV Battery Giant Scraps German, Italian Gigafactories

7 Feb

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Summary

ACC cancels planned battery gigafactories in Germany and Italy.
Automakers like Stellantis are retreating from EV investments.
Company focuses on French operations for efficiency and competitiveness.

EV Battery Giant Scraps German, Italian Gigafactories

Automotive Cells Co. (ACC) has officially cancelled its planned battery gigafactories in Kaiserslautern, Germany, and Termoli, Italy. These projects, which were put on hold last year, will not be restarted as the company deems conditions unfavorable.

ACC, a joint venture involving Stellantis, Mercedes-Benz, and TotalEnergies, is redirecting its focus. The company will concentrate on improving efficiency and competitiveness at its existing operations in France, specifically mentioning the Billy-Berclau/Douvrin site.

This move by ACC signifies a significant pullback in aggressive electric-vehicle investments by European automakers. Stellantis noted it is closely observing ACC's decision and has made efforts to safeguard its employees in a challenging market.

Stellantis is implementing measures such as planning e-DCT gearbox production in Termoli by the end of 2026 and investing in Euro 7-compliant engines. The automaker has also announced substantial writedowns totaling €22.2 billion ($26 billion), largely attributed to unprofitable EV projects, impacting its financial performance and market valuation.

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