Avesta Battery and Energy Engineering (ABEE), a Brussels-based start-up specializing in battery and energy technologies for e-mobility, plans to build a large-scale battery factory for electric vehicles in the Romanian city of Galați.

That is what the ABEE founder and CEO Noshin Omar announced on Tuesday during a press conference in Ninove (Belgium), where Prime Minister Alexander De Croo and Romanian Minister of Economy Stefan-Radu Oprea, among others, were present.

€ 1,4 billion investment

The factory must be able to produce 22 gigawatt hours at full capacity and will have 1 800 to 2 000 direct employees. The project represents a € 1,4 billion investment. The money will mainly come from international investment banks and the Romanian government.

The first permits will be applied for in January 2024, but it is unclear when the project should be ready. In November, it was also announced that there are plans for a factory in the Hainaut province in Belgium.

Galați

The batteries produced in Romania will mainly be intended for electric vehicles, but part of the production will also be used to store renewable energy.

Why Galați? Because the city is already home to a great deal of industry and considers itself the gateway to the eastern part of the European Union. In addition, Romania also has large factories of car manufacturers Dacia and Ford on its territory.

Easier to recycle

The company will also focus on battery technology to replace the current lithium-ion batteries in the coming years. It says it has developed a technology that does not require nickel or cobalt, making the battery more environmentally friendly and easier to recycle.

The gigafactory will play an important role in the European Union’s efforts to become less dependent on China.