While European leaders wring their hands over China’s growing industrial might, CATL is busy putting down roots in Spanish soil. The Chinese battery behemoth isn’t asking for permission—it’s spending a cool €4.1 billion ($4.8 billion) on its third European battery plant. And Spain? They’re rolling out the red carpet.
The massive facility in Figueruelas, nestled in northeastern Spain, represents a 50:50 joint venture with European automaker Stellantis. Not exactly a small-time operation. When completed, this battery fortress will churn out up to 50 gigawatt-hours of lithium iron phosphate cells annually. That’s a lot of batteries, folks.
This ain’t your corner store battery shop—CATL and Stellantis are building a 50GWh monster in Spain’s backyard.
Spain wasn’t chosen by accident. The country ranks as Europe’s second-largest car producer and offers some serious perks—labor costs that won’t break the bank and energy prices roughly 20% below the EU average. Smart business move. The battery plant will conveniently sit near Stellantis’s vehicle manufacturing facilities in Zaragoza. Cozy neighbors.
About 2,000 Chinese workers have already descended on Spanish soil to build the plant and train local personnel. Eventually, some 4,000 Spaniards will staff the operation, with Chinese workers heading home. Well, most of them anyway. Production at this ambitious facility is expected to start by late 2026, aligning with CATL’s broader European expansion timeline.
Ironically, the project comes with over €300 million in EU funding. Europe paying China to build batteries on European soil? That’s rich. The facility will run entirely on renewable energy, checking all the green boxes that European regulators love so much. This commitment aligns with global trends toward clean tech investments, which have reached record levels in recent years.
For Spain, this represents a major industrial coup in their quest to become Europe’s battery manufacturing hub. The plant will create thousands of high-skilled jobs in a region hungry for economic development. Spain is attracting several other battery manufacturers including Envision AESC and PowerCo as part of its national strategy.
One thing’s certain—while politicians debate Chinese influence in Europe, CATL is already building the future. And they’re doing it one battery at a time, on Spanish soil, with European money. Business as usual.
References
- https://cnevpost.com/2025/11/26/catl-breaks-ground-battery-plant-spain/
- https://battery-news.de/en/2025/11/27/catl-starts-construction-of-battery-gigafactory-in-spain/
- https://autogear.pt/en/catl-will-build-a-battery-factory-for-electric-vehicles-in-spain/
- https://www.just-auto.com/news/catl-e4-1bn-battery-plant-spain/
- https://www.electrive.com/2025/11/26/catl-and-stellantis-start-battery-plant-construction-in-spain/
- https://www.globalbankingandfinance.com/stellantis-catl-batteries-spain-two/
- https://www.euronews.com/business/2025/11/27/catl-and-stellantis-break-ground-on-spains-largest-ev-battery-plant
- https://goldsea.com/article_details/catl-breaks-ground-on-spain-battery-plant
- https://www.teslarati.com/stellantis-catl-battery-factory-europe/
