A new study by Mobility Global, commissioned by ACEA, assesses the preparedness of Europe’s battery supply chain to meet the localisation requirements envisaged under the Industrial Accelerator Act (IAA).
Under the proposed IAA, battery localisation requirements would be introduced in two phases: six months after entry into force of the text (around 2027-2028), batteries would need to contain three EU-origin components, including battery cells. Three years after adoption (around 2030-2031), this would increase to five EU-origin components, including battery cells, the battery management system (BMS) and cathode active materials (CAM).
The analysis examines how these requirements could shape demand, and the scale of local production required over the coming decade. Three scenarios are considered, each involving a different level of demand for European-made batteries:
• Full market (high demand scenario): covering the electric light-vehicle market, including private buyers benefiting from purchase incentives. (....)