German auto-maker BMW plans to spend €2bn on a battery factory near its future car factory in Debrecen, Hungary.
Milan Nedeljković, a member of the company’s management board, said the plant would be “the most advanced in the world”.
He said: “With our iFactory, we are setting new industry standards for vehicle production. Our investments underline our systematic approach to implementing e-mobility.”
The 14ha factory’s 500 workers will insert sixth generation high-voltage cells into their metal housings for fitting into the underbody of the “Neue Klasse” cars that will be assembled at the car plant.
BMW said its sixth-generation batteries will give a 30% boost to range and charging times.
If all goes according to plan, both factories will begin production in 2025.
BMW said it hopes to make the new factory’s carbon footprint 60% smaller than a conventional battery factory by using sustainable energy and recycling some cobalt, lithium and nickel.