Chinese battery manufacturer CATL expects its new factory in Hungary to begin operations as early as the end of this year or the beginning of 2025, its top European executive said, accelerating its timeline for what will become the company’s largest overseas facility.
The 7.3 billion euro ($8.55 billion) plant, located in the eastern city of Debrecen, will supply automakers including BMW, Stellantis and Volkswagen as they expand electric vehicle production in Europe. Designed with an annual capacity of 100 gigawatt-hours and a workforce of up to 9,000, it will significantly surpass CATL’s existing European production site in Thuringia, Germany.
Matt Shen, CATL’s general manager for Europe, told Reuters the company’s goal was to begin output in “the next four, five months.” He added: “At the end of this year or beginning of the next year” was now the target timeline, ahead of the initial late 2025 plan.
The announcement comes as CATL seeks to strengthen its international presence. On Sept. 7, the company unveiled its new Shenxing Pro battery in Europe, presenting the product ahead of the IAA Mobility auto show in Munich. The Shenxing Pro is the first battery to feature CATL’s NP 3.0 (No Propagation 3.0) safety technology, based on lithium iron phosphate (LFP) chemistry, and is positioned as a safer and more efficient option for European customers.
Despite fluctuating demand for EVs in Europe, CATL has extended its lead in the global battery sector. Industry data from SNE Research shows that CATL and fellow Chinese manufacturer BYD jointly accounted for more than half of global installations between January and July, when worldwide EV battery capacity rose 35.3% year-on-year to 590.7 gigawatt hours (GWh). CATL’s installations grew 34% to 221.4 GWh, giving the company a 37.5% global market share, slightly lower than the 37.8% recorded in the same period of 2024.