Chinese EV battery maker in talks to invest £1bn in new UK gigafactory

Chinese battery manufacturer EVE Energy is negotiating a £1bn investment for a new electric vehicle battery factory near Coventry.

This facility is expected to create 6,000 jobs and will be a central component of the UK's upcoming Centre for Electrification in the West Midlands.

The proposed gigafactory, spanning 5.7 million square feet, could initially see an investment of £1.2bn from EVE Energy. This development may double the size of Nissan's Sunderland battery plant and follows Tata Group's £4bn commitment to a Somerset gigafactory for Jaguar Land Rover, promising 4,000 jobs.

The Coventry project might lure £2bn in private investments but hinges on significant UK government subsidies. The venture is in line with the region's automotive heritage and research prowess, represented by local carmakers and the UK Battery Industrialisation Centre.

Despite ongoing discussions with multiple Asian manufacturers, the identities of potential investors remain confidential. The UK government emphasizes its commitment to automotive manufacturing excellence and prudent fiscal management, without addressing specific negotiations. EVE Energy has yet to comment on the discussions.