CATL will deploy 2,000 workers from China to Spain
Speed, tech transfer, and how Europe turns this JV into capability.
Summary
CATL will deploy 2,000 workers from China to Spain.
Battery Industry Pulse: weekly roundup.
Welcome back to another edition of my newsletter! - Week 39 2025
Whether battery makers or OEMs, Chinese players are accelerating their presence in Europe.
Spain is the latest proof.
Announced last year, CATL and Stellantis will build a €4.1 billion battery plant in Zaragoza.
According to the Financial Times, CATL is sending 2,000 specialists to build and commission the factory. The first output is targeted for late 2026.
The official story is simple. Europe needs capacity, China brings speed, and everyone benefits.
The reality is more complex.
The workforce reality
Bringing in installation, commissioning, and ramp-up production crews is standard practice in large battery projects.
CATL intends to send 2,000 Chinese workers to Spain to build and ramp up the plant.
The first waves are engineers, and more staff to follow as equipment installation begins.
The message is speed and control. Get the line up fast, with CATL‑trained crews who know-how to do it. CATL applies the same process at new plant in China.
Korean battery makers have done the same in Eastern Europe and in the United States, a point made visible by the recent ICE raid involving Korean workers.
In Europe, Korean workers played a crucial role in helping LG Energy Solution or Samsung SDI accelerate plant ramp-ups and cross the valley of death.
This is how major Asian battery makers compress timelines.
They export the same playbook abroad. The upside is a predictable ramp. The risk is slower knowledge diffusion into local teams during the most critical phase: the ramp-up.
CATL says the workforce will become largely Spanish over time. The ramp-up is where process secrets live.
That is what Spanish stakeholders close to the project, including Stellantis’ employees, are worried about: technology transfer.
The tech‑transfer gap
CATL says it will recruit and train local staff to run the Spanish plant once it is built. The company used the same approach at its German factory.
However, Spanish stakeholders are doubtful about technology transfer.
The Financial Times captured these concerns.
José Juan Arceiz of Stellantis said he “doesn’t think the Chinese want to share the know‑how,” linking the 2,000 incoming workers to construction and installation. He welcomed plans for 3,000 mostly Spanish staff to run the plant, but still doubted access to the knowledge to set up a battery factory.
Pedrola’s mayor, Manuela Berges, called the company highly cautious about industrial espionage.
At the same time, Matt Shen, CATL’s general manager for Europe, recently said that CATL wants to collaborate more with companies in Europe.
Stellantis’ goal with this JV is likely to secure high-quality LFP cells produced in Europe. But the real advantage of this partnership structure should be knowledge and technology transfer. Stellantis should make sure those benefits are written into the deal.
What do these signals mean beyond Spain?
CATL’s move is part of a broader Chinese industrial wave into Europe.
BYD is building car plants in Hungary and Turkey and says local battery output will be needed to support scale. EVE Energy is building in Hungary to serve BMW’s Debrecen site.
The direction is steady. Build near customers, reduce tariff risk, and preserve process advantage.
For Europe’s OEMs, the choice is not binary.
They need cost, quality, and timelines. Partnering with experienced Asian suppliers can deliver that.
The question is how to use those partnerships to build a durable European base and not a permanent dependency.
Europe should work with Asian players.
Europe needs to learn from Chinese, Korean, and Japanese players. The recent cases of Northvolt and ACC prove it.
When I write on LinkedIn about partnering with Chinese players, some people push back. They point to the CCP. I understand that concern.
China can use market power as a political tool with the U.S. and Europe. That is true. It is also true that we already rely on Chinese production across many industries. We import and use those products every day. Batteries are no different.
In batteries, regionalization will grow over time. The U.S. is relatively closed (to Chinese players), but Europe is open.
Chinese companies want to be global, like Western companies. That creates a window.
Europe is behind. I see the arrival of Chinese players as a chance to learn with them and from them.
We should do what China did with European carmakers. Make learning the point of the deal.
Right now, Europe spends billions on localization, but too often there are no binding tech‑transfer terms.
Europe needs systems that turn subsidies into skills. That is how we build an industry that lasts.
PS: If you are interested in learning the fundamentals of lithium-ion batteries, I offer 10% off (code NEWSLETTER10, exclusive to Battery Chronicle readers) on my Battery Starter Kit. It’s a great onboarding resource.
Now, let’s look at this week's battery market developments.
Battery Industry Pulse: Weekly Roundup
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Anson Resources Signs Offtake Agreement with LG Energy Solution for Lithium from Paradox Basin
Components
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Ayvens introduces battery certificates for used electric vehicles
CATL is set to launch its new 8-series high-nickel batteries next year
Staff from India’s Agratas in South Korea to discuss battery equipment purchase
Li Auto and SEVB establish joint venture for battery production
BYD needs battery plant in Europe to support auto production increase
South Korea jails CEO of battery maker for 15 years over deadly fire
BESS
Passengers Cars
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Greg Reid.