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THE BATTERY INDUSTRY

8.5

Almost 8.5 billion euros of investment

major industrial projects related to batteries across the region

major logistics projects related to electric mobility across the region

6000

direct jobs planned for industrial battery projects

DUNKIRK, AT THE HEART OF FRANCE’S BATTERY VALLEY

One of the major challenges standing in the way of reaching net zero emissions in France by 2050 lies in reducing greenhouse gas emissions, particularly in high emissions sectors such as energy (41%), transport (24%) and construction (24%), according to the International Energy Agency (AIE, 2021), on a global scale.

Electric car development seems to be a crucial solution to reducing these emissions. However, the matter of the strategic metals needed to manufacture electric batteries and their end-of-life recycling is a real challenge. In July 2023, the European Council adopted a new regulation aiming to promote the circular economy by regulating the life cycle of batteries. Ambitious recycling efficiency targets were set at 80% for nickel-cadmium batteries and at 50% for other battery waste for now to the end of 2025.

By 31 December 2031 at the latest, recycling as a whole should reach at least the following material recovery targets:

95% for cobalt
80% for lithium
95% for nickel

Why the term “Battery Valley”?

The Hauts-de-France Battery Valley brings together the main industrial, academic and institutional stakeholders in the region’s battery industry. This ambitious programme is aiming to make the region into the heart of innovation and production in the domain of electric mobility. It has three main objectives:

To structure and expand the industry with strategic activities;
To encourage research to design the batteries of the future;
To develop training programmes to teach employees and new talent specific and necessary skills.

The Dunkirk area is poised at three key stages of the electric battery value chain, at the heart of France’s leading automotive region.

DUNKIRK, AN ECOSYSTEM ENCOURAGING THE EMERGENCE OF THE BATTERY INDUSTRY

The territory has many assets to its name:

The 3^rd largest port in France, boasting an excellent connection to logistics networks
A strong industrial culture, a dynamic ecosystem
Turnkey sites helping companies to get up and running quickly
Effective cooperation between all the area’s stakeholders
Raw materials (steel, aluminium) and low-carbon energy

200,000 tonnes per year of so-called “electrical” steel will be produced by ArcelorMittal Mardyck from 2024, representing a 300 million euro investment. This steel is intended for electric motors in general and is characterised by its magnetic and mechanical properties.

60,000 tonnes of alloy ingots for the automotive sector will be produced by Aluminium Dunkerque from 2025. Aluminium is used to make vehicles lighter.

To respond to the challenges of carbon neutrality, the European Union has decided to prohibit the sale of new combustion engine vehicles in 2035. The automotive and mobility industry as a whole is experiencing a major overhaul.

The anticipated growth of electric vehicle sales will mean a higher demand for batteries. Add to that the increased need for strategic metals, which must be imported, plus the fact that we will also have to tap into the growing “urban mine” by recovering strategic metals from battery recycling.

To accompany this ecofriendly turn, more gigafactory battery projects for electric vehicles have been founded in the Hauts-de-France region, including two in Dunkirk.

Components and materials manufacturing factories, as well as battery recycling plants will also be set up near gigafactories, thereby creating a new battery industry, as explained in the infographic representing the battery value chain under development in Dunkirk.

BATTERY VALUE CHAIN IN DUNKIRK

The value chain’s “upstream” activities in Dunkirk

Refined materials production (electrolytes, lithium hydroxide):
- Enchem
- Project under study at Borax Français
Battery component production such as the precursors and active materials of cathode, composed of nickel manganese and cobalt or lithium iron phosphate.
- ORANO – XTC New energy Materials

Battery production activities: cells, modules

- Verkor
- Prologium

The value chain’s “downstream” activities:

- Orano recycling
- Eramet – Suez recycling: collection, disassembly and grinding, blackmass treatment using a hydrometallurgy process

Discover all the battery-related projects

assemblage batterie pour voiture electrique

THE 7 MAJOR LOCAL INDUSTRIAL PROJECTS

ORANO – XTC NEW ENERGY

Expertise: Orano, an internationally recognised expert in the nuclear fuel cycle.
Project: Orano and XTC New Energy have signed agreements with a view to creating two joint ventures involving the production of cathode active materials (CAMs) and their precursors (P-CAMs) for electric vehicle batteries, as well as a shared R & D laboratory.
When it comes to these two plants, which will be built on a 53 hectare site in Dunkirk, the two industrial groups plan to have mirror-image shareholding and governance: Orano will hold 51% and XTC New Energy will hold 49% of the P-CAM plant, and XTC New Energy will hold 51% and Orano 49% of the CAM plant. These plants will primarily use NMC (a combination of Nickel, Manganese and Cobalt) technology, which is mainly employed in Europe and essential for the production and performance of electric vehicle batteries.
Orano is also planning to set up and run a battery recycling factory on the same site near the P-CAM and CAM manufacturing facilities. This comprehensive project should help to create a complete and sustainable value chain in France and meet both France and Europe’s decarbonisation targets.
Completion dates: First commissioning: the CAM plant in 2026.

PROLOGIUM

Expertise: A global leader in the development and manufacture of the new generation solid state battery.
Project: Setting up a gigafactory for the production of solid state batteries for electric vehicles.
Completion dates: Work should begin by 2026, activities should be up and running in 2030.

Read the testimonial of Vincent Yang, CEO and founder of ProLogium:

VERKOR

Expertise: Low-carbon, high performance battery production.
Project: Setting up a production unit for electric battery modules intended mainly for the automotive sector.
Completion dates: Gradual commencement of activity in 2025 (1^st phase), final completion in 2027.

BORAX FRANCE

Expertise: A long-established company in Dunkirk, Borax France converts boron oxides into speciality borates.

Project under review:

In terms of historical business, the site has developed boric acids for the cathode market and is studying the installation of a new dedicated line.
The group is studying the feasibility of opening a line for the production of up to 12,000 T of lithium hydroxide per year, an essential component in the manufacture of electric batteries. The current study is looking at the best options for integrating the new service, in order to optimise water consumption and meet CO₂ emissions reduction criteria.

ERAMET-SUEZ

Expertise: ERAMET – SUEZ – Lithium-ion battery recycling
Eramet, Europe’s leading mining company and metallurgist, and Suez, a leader in circular solutions for water and waste, have chosen Dunkirk as their joint recycling factory for lithium-ion electric vehicle batteries. Production is due to start in 2025, subject to the final investment decision.
The two partners are combining their expertise: SUEZ specialises in the collection, sorting, preparation, dismantling and recycling of battery waste while ERAMET deals with strategic battery metal recycling technology.The aim of the project is to make Dunkirk the home of two facilities:
An “upstream” factory for the dismantling and production of blackmass, a metallic concentrate of nickel, cobalt, manganese, lithium and graphite. Commissioning is set for 2025.
A “downstream” hydrometallurgy factory for the extraction and purification of strategic metals from blackmass. Operations are due to begin in 2027.

ENCHEM

Expertise: A leader in the production of electrolytes

Project: Setting up an electrolyte production factory for batteries, NMP recycling and cathode suspension production.

Completion dates: Construction is due to start in 2025, activities should be operational in 2027.

Key figures:

57 million euro of investment
100 direct jobs
5 hectares
150,000 tonnes of electrolytes

PSA BDP

The subsidiary of Singapore’s leading port handling company specialising in logistics solutions PSA PDB will handle the contract logistics and transport of products for ACC (Automotive Cells Company), a joint venture between Stellantis, TotalEnergies and Mercedes-Benz.

Find out more!

CEVA LOGISTICS

Ceva Logistics, the leading multimodal operator of vehicles finished in Europe and a global leader in logistics, is developing a brand new car business in the port of Dunkirk.

A logistics business for finished vehicles being imported and exported by sea. Reception and storage areas will be created, as well as loading and unloading zones for trains and car transporters.