Chinese plot British gigafactory

CHINESE battery manufacturer EVE Energy is planning to build a gigafactory in the West Midlands as Britain races to expand its electric car industry.

Sources close to the talks said there has been “real interest from the company” in investing in the project on a site next to Coventry’s airport.

The business, which already has operations in Germany and the United States, is set to become a major player in a new Centre of Electrification, a local authority backed bid to boost the West Midlands’ manufacturing capabilities as well as the nation’s net zero ambitions.

EVE Energy’s potential investment was first reported by The Sunday Times.

The project will include an initial £1.2bn of investment with further waves of expansion taking the factory to twice the size of Nissan’s battery site in Sunderland, the newspaper reported yesterday. Ultimately, it is said it will directly create 6,000 jobs.

A Government spokesman said: “We are determined to ensure the UK remains one of the best locations in the world for automotive manufacturing as we transition to electric vehicles, while ensuring taxpayer money is used responsibly and provides best value.”

The potential investment comes at a sensitive time for the motor industry across much of the world.

Established companies and manufacturing centres have struggled with the move towards producing electric vehicles, as well as the shifting demands from governments.

Plans to build a heavily subsidised gigafactory in the Northumberland town of Blyth collapsed last year as Britishvolt, the business behind the £3.8bn scheme, fell into administration.

Tata, which owns Jaguar-land Rover, last month confirmed it is to invest £4bn to construct a gigafactory near Bridgwater in Somerset.