Production is due to begin by the end of 2026. At full capacity, the gigafactory will produce up to 50 GWh, enough to power around one million electric vehicles a year. The €4.1bn investment is expected to create more than 4,000 direct jobs and several thousand indirect roles, reinforcing Europe's battery supply chain and the local industrial base.
At a glance
• Carbon neutrality: The plant is designed to operate as a carbon-neutral facility.
• Technology: It will use advanced technologies such as cell-to-body design, integrating battery cells directly into vehicle structures for improved efficiency and safety.
• Sustainable manufacturing: More than 80% of energy will come from renewable sources, with Industry 4.0 standards enabling intelligent production.
EU commits to 56 GWh of new battery production capacity
According to CATL, the Zaragoza gigafactory represents its next step in Europe, moving from exports to localised production and now towards full integration through deeper industrial cooperation. The shift builds on a partnership formed in 2016 with Stellantis, which has evolved from a supplier relationship into a joint industrial venture aligned with both companies' long-term electrification plans.
More than €11 billion investments across Europe
CATL is investing more than €11bn in manufacturing and innovation facilities across Germany, Hungary and Spain, covering the full battery value chain. The company aims to establish a closed-loop system encompassing materials production, cell manufacturing, remanufacturing and recycling. It is also working with local partners and recyclers, and backing education initiatives to build the skilled workforce required for Europe's energy transition.
Germany – Thuringia plant and testing centre expansion
CATL's Arnstadt site in Thuringia began producing battery cells in 2022 – the company's first facility outside China. These cells now supply several high-performance European vehicle models. A major testing centre, already certified by Volkswagen for cell and module testing, is currently doubling its capacity. The German operations represent a €1.8bn investment and employ more than 1,700 staff, supported by localisation programmes and vocational training for the chemical and Industry 4.0 sectors.
CATL and Ellen MacArthur Foundation join forces for battery circularity
Hungary – scaled production and continued hiring
Hungary serves as CATL’s high‑capacity European production hub, showing steady progress:
– 800 employees hired to date, expected to exceed 2,000 by end of 2025
– around 4,100 staff projected at full production in 2026
– a second facility advancing on schedule, with construction and recruitment under way. (hcn)
