SEAT expects Nissan’s Barcelona plants will be battery production facilities
(As of March 1st, 2021) According to the US News, SEAT, which is a Spanish car maker, called on the Spanish government to promote local battery production for electric vehicles. This is because the company is supposed to start manufacturing them in Spain in 2025.
SEAT seems in “advanced conversations” with the government on whether to start producing small electric vehicles at its Barcelona-area plant. To make mass production of EVs successful, a battery factory in Spain is critical.
In the other article about Nissan’s Barcelona plants, they will be possibly converted into a battery production facility for EVs. It seems reasonable that the Spanish government makes use of the trend of electrification. This is because Spain is the second-largest car manufacturing countries in Europe.
The other point is that Spain should take initiatives in promoting production, demand and charging infrastructure for electric vehicles. The cost of batteries is also crucial for EV productions. Spain receives 140 billion EUR as the EU’s COVID-19 pandemic aid. Thus, The government should used it for the goal, and the country will be able to create new jobs. As a result, we hope it will improve one of Western Europe’s highest unemployment rates.
Who is SEAT?
The official name of SEAT is Sociedad Española de Automóviles de Turismo, and is a Spanish automobile manufacturer. Its head office is located in Martorell, Spain, and it was founded in 1950. Volkswagen Group, which is a German multinational automotive manufacturer and one of the largest car makers, acquired SEAT in 1986.
The company has mainly two brands such as SEAT and CUPRA, and they are very popular especially in Spain. In fact, before the pandemic, SEAT sold more than 110 thousands vehicles in Spain in 2019. This number was the highest in the country. SEAT’s LEON was the most sold brand in terms of the number of sales in 2019.
Rome wasn’t built in a day: Electrification
When we want to make our society more sustainable, there are lots of challenges around us. Climate change is just an example, but it is really hard to improve. In fact, many countries, cities and companies announced that each of them tries to achieve carbon neutrality within the next few decades. However, the reality is different. There are several key words relating to carbon neutrality including electrification, battery, infrastructure, renewable energy, solar energy and wind turbine.
When it comes to electric vehicles, we should solve some problems to make them more affordable and available. The cost of batteries is one of them. If few companies manufacture and supply batteries, cost reduction seems impossible. Therefore, both governmental and regional supports become more necessary to transform the production of combustion engine cars into electric vehicles.
Even though it is a really tough challenge, we can say that it is a right time to do. This is because lots of people have experienced the increase demand of EVs. For instance, the governments incentivize many consumers to purchase new energy vehicles. In addition, some countries including Spain and Italy receive aid the COVID-19 pandemic aid.
Government’s support is necessary
As we see the other article about Indonesian government’s initiative, national governments’ supports are essential to transform the industries. Of course, it takes time and needs money to start some initiatives. However, national governments have more power, money and people than each company. Therefore, they can have a much more influence on the industry, in general.
Thus, we will not be surprised if the Spanish government makes s decision to establish batteries facilities in the area where Nissan had its plants previously.