EVE Energy, a prominent Chinese electric vehicle battery manufacturer, is reportedly in talks to invest over £1 billion in constructing a massive new gigafactory on the outskirts of Coventry.
The proposed facility, spanning 5.7 million square feet, would serve as a crucial component of the planned UK Centre for Electrification in the West Midlands region.
The potential investment could pave the way for the creation of up to 6,000 jobs and would involve collaboration with local councils and Coventry airport, where the gigafactory is slated to be situated. EVE Energy is contemplating an initial investment of £1.2 billion for the project, with future expansion plans in subsequent phases.
This initiative comes on the heels of Tata Group’s commitment last year to invest £4 billion in constructing an electric car battery gigafactory in Somerset, UK, which is anticipated to generate 4,000 new jobs.
With various car manufacturing facilities and the UK’s largest battery research center, the West Midlands is positioning itself as a focal point for EV battery production and innovation.
The Coventry gigafactory project has the potential to attract additional private funding amounting to £2 billion, subject to securing substantial subsidies from the UK government.
Discussions with potential investors, including leading Asian battery manufacturers, have been ongoing since October 2023.
While a spokesperson for the project confirmed discussions with global battery manufacturers, specific details remain confidential.
The government has reaffirmed its commitment to supporting automotive manufacturing in the UK’s transition to electric vehicles, emphasizing the responsible use of taxpayer funds.
As of now, EVE Energy has yet to comment on the reported investment talks.
