The EU launches €1.8 billion interest-free loan to support its domestic battery industry.

Faced with the challenges of the battery industry, the EU launched the Battery Booster program, providing €1.8 billion in interest-free loans to support domestic battery companies. This initiative aims to emulate the US IRA (Independent Research and Development Authority) and encourage domestic sourcing of key battery minerals. However, US experience shows that such policies can lead to project instability and losses for automakers. Despite strong growth in the European electric vehicle market, achieving battery self-sufficiency remains a significant challenge.