CATL's Hungary Plant Expected to Begin Production Early Next Year

Chinese battery manufacturer CATL expects its Hungarian factory to begin production in early 2026. The company's European regional manager stated that the company is seeking growth in the region. CATL has invested 7.3 billion euros in the factory in Debrecen, eastern Hungary, aiming to expand battery production in Europe for automakers such as BMW, Stellantis, and Volkswagen. BMW plans to begin production of its new electric vehicle iX3 in Debrecen by the end of the year. This is the first model in BMW's so-called "New Generation" series, through which BMW aims to consolidate its position in the electric vehicle field.

The new factory in Hungary will surpass CATL's existing European battery production facility in Thuringia, Germany, with a planned annual capacity of 100 GWh and a workforce of 9,000 employees. Matt Shen, General Manager of CATL Europe, told the media that the current goal is to start production in Debrecen by the end of this year or the beginning of next year. The company initially aimed to begin production by the end of 2025.

Contemporary Amperex Technology Co., Limited (CATL) is one of the many Chinese companies participating in this year's Munich IAA Mobility auto show, which officially opened on Tuesday, while European automakers are striving to keep up with the transition to electric vehicles. CATL's leading position in the electric vehicle battery market continues to strengthen, with its global market share reaching 38% in 2024, up from 36% a year earlier. Matt Shen is unconcerned about worries over weak demand for electric vehicles in Europe. "There will always be fluctuations," he said, "but the overall trend of electrification is beyond doubt."