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Released December 06, 2023 | GALWAY, IRELAND
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Written by Martin Lynch, European News Editor for Industrial Info (Galway, Ireland)--The U.K. has announced more than £2 billion (US$2.5 billion) in funding to support its struggling automotive sector by jump-starting an electric vehicle (EV) manufacturing base and associated battery industry.
The country's first Battery Strategy was revealed at the launch of its Advanced Manufacturing Plan (AMP), a £4.5 billion (US$4.8 billion) drive to incentivise manufacturing in key sectors, including automotive, aerospace, and clean energy including hydrogen. Automotive is the big winner in the funding game, which will support the manufacturing and development of zero-emission vehicles, their batteries and supply chain for five years to 2030. It was followed by £975 million (US$1.2 billion) for aerospace. Some of the money has already been pledged to support new EV-related projects in the U.K. by BMW (Munich, Germany), Nissan Motor Company (Yokohama, Japan) and Tata Group (Mumbai, India). The funding also includes £61 million (US$71 million) specifically for battery R&D through three existing streams: the U.K. Battery Industrialisation Centre, the Advanced Materials Battery Industrialisation Centre and 20 competition winners currently developing technologies across the battery value chain.
U.K. Prime Minister Rishi Sunak said: "We are going full throttle to back British businesses and make the UK a world leader in manufacturing - which already makes up over 43 percent of all our exports and employs 2.6 million people across the country. The battery sector alone could create 100,000 highly paid and skilled jobs in the U.K. and the Government has also today published the U.K.'s first ever Battery Strategy, outlining our plan for the U.K. to attract investment and achieve a globally competitive battery supply chain by 2030."
The U.K. has lagged behind other European nations in backing the shift to EVs and building a homegrown supply of batteries. Its only homegrown EV battery startup, Britishvolt (Blyth), collapsed at the start of this year. For additional information, see January 19, 2023, article - U.K.'s EV Hopes Dashed as Britishvolt Collapses. Industrial Info is tracking the country's only other U.K. EV battery gigafactory project, under development by China's Envision AESC with carmaker Nissan in Sunderland, England. It will have an annual capacity of 11 gigawatt-hours (GWh) when it is commissioned in 2024, rising to an annual capacity of up to 38 GWh when fully expanded in later years. In August Industrial Info reported on a decision by India's industrial giant, Tata Group--which owns Jaguar Land Rover (JLR) (Coventry, U.K.)--to build a £4 billion (US$5.1 billion) gigafactory to supply batteries for EVs on a 600-acre site in Somerset, England. For additional information, see August 7, 2023, article--U.K. Chosen for Tata's EV Battery 'Gigafactory'.
The funding news and strategy was welcomed by U.K. automotive and industrial groups. Mike Hawes, chief executive of the Society of Motor Manufacturers and Traders, said: "Decarbonising road transport is essential if net zero is to be achieved, and that transition must be 'built in Britain'. The government's Advanced Manufacturing Plan sets out measures to support the U.K. automotive supply chain as it undergoes the most significant transition in its history. The plan, together with a new battery strategy to support the development and production of this critical technology, is essential if the U.K. is to compete in the face of fierce global competition. These initiatives can only help to attract the investment necessary to seize the growth opportunities a Net Zero economy offers."
Richard Kenworthy, the managing director of Toyota Motor Manufacturing U.K., added: "We welcome the announcement of a new AMP and the priority the Government is giving to the automotive sector. Our industry is undergoing a significant transition as we make the changes and investments required to secure a zero-carbon future. It is important for manufacturers to continue to work together with the Government to deliver on this goal and ensure the global competitiveness of the U.K. automotive industry."
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 200,000 current and future projects worth $17.8 Trillion (USD).
The country's first Battery Strategy was revealed at the launch of its Advanced Manufacturing Plan (AMP), a £4.5 billion (US$4.8 billion) drive to incentivise manufacturing in key sectors, including automotive, aerospace, and clean energy including hydrogen. Automotive is the big winner in the funding game, which will support the manufacturing and development of zero-emission vehicles, their batteries and supply chain for five years to 2030. It was followed by £975 million (US$1.2 billion) for aerospace. Some of the money has already been pledged to support new EV-related projects in the U.K. by BMW (Munich, Germany), Nissan Motor Company (Yokohama, Japan) and Tata Group (Mumbai, India). The funding also includes £61 million (US$71 million) specifically for battery R&D through three existing streams: the U.K. Battery Industrialisation Centre, the Advanced Materials Battery Industrialisation Centre and 20 competition winners currently developing technologies across the battery value chain.
U.K. Prime Minister Rishi Sunak said: "We are going full throttle to back British businesses and make the UK a world leader in manufacturing - which already makes up over 43 percent of all our exports and employs 2.6 million people across the country. The battery sector alone could create 100,000 highly paid and skilled jobs in the U.K. and the Government has also today published the U.K.'s first ever Battery Strategy, outlining our plan for the U.K. to attract investment and achieve a globally competitive battery supply chain by 2030."
The U.K. has lagged behind other European nations in backing the shift to EVs and building a homegrown supply of batteries. Its only homegrown EV battery startup, Britishvolt (Blyth), collapsed at the start of this year. For additional information, see January 19, 2023, article - U.K.'s EV Hopes Dashed as Britishvolt Collapses. Industrial Info is tracking the country's only other U.K. EV battery gigafactory project, under development by China's Envision AESC with carmaker Nissan in Sunderland, England. It will have an annual capacity of 11 gigawatt-hours (GWh) when it is commissioned in 2024, rising to an annual capacity of up to 38 GWh when fully expanded in later years. In August Industrial Info reported on a decision by India's industrial giant, Tata Group--which owns Jaguar Land Rover (JLR) (Coventry, U.K.)--to build a £4 billion (US$5.1 billion) gigafactory to supply batteries for EVs on a 600-acre site in Somerset, England. For additional information, see August 7, 2023, article--U.K. Chosen for Tata's EV Battery 'Gigafactory'.
The funding news and strategy was welcomed by U.K. automotive and industrial groups. Mike Hawes, chief executive of the Society of Motor Manufacturers and Traders, said: "Decarbonising road transport is essential if net zero is to be achieved, and that transition must be 'built in Britain'. The government's Advanced Manufacturing Plan sets out measures to support the U.K. automotive supply chain as it undergoes the most significant transition in its history. The plan, together with a new battery strategy to support the development and production of this critical technology, is essential if the U.K. is to compete in the face of fierce global competition. These initiatives can only help to attract the investment necessary to seize the growth opportunities a Net Zero economy offers."
Richard Kenworthy, the managing director of Toyota Motor Manufacturing U.K., added: "We welcome the announcement of a new AMP and the priority the Government is giving to the automotive sector. Our industry is undergoing a significant transition as we make the changes and investments required to secure a zero-carbon future. It is important for manufacturers to continue to work together with the Government to deliver on this goal and ensure the global competitiveness of the U.K. automotive industry."
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 200,000 current and future projects worth $17.8 Trillion (USD).
