# Insights on EV Market Dynamics and Strategic Partnerships
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Chapter 1: The Musical Inspiration Behind The Weekend Brief
The Weekend Brief (TWB) draws its name from the iconic hard rock band Whitesnake, particularly their classic track "Still of the Night," featuring lead guitarist John Sykes. Notably, David Coverdale, the band’s frontman, was one of the first guests on the recent THAT Rocks! podcast hosted by the team behind That Metal Show.
Interestingly, I stumbled upon a French translation of the song title—Dans Le Silence De La Nuit—which also happens to be the title of an extraordinary piece by the Chorale de Kigali. This song is a world apart from the Whitesnake classic, and I would like to highlight both tracks for your enjoyment.
Chapter 2: Stellantis and the Dawn of Electric Trucks
The 2023 Consumer Electronics Show (CES) took place in Las Vegas, where Stellantis made headlines by unveiling its innovative Dodge Ram electric pickup truck concept. This model, known as the Ram 1500 Revolution, is poised to enter the market amidst fierce competition among full-size electric vehicles (EVs).
Under the guidance of CEO Carlos Tavares, Stellantis has embarked on a significant partnership aimed at designing and producing EV batteries. Initiated in 2020, this joint venture, known as Automotive Cells Company (ACC), includes TotalEnergies and, later, Mercedes-Benz as equal partners. The objective is to boost battery production capacity to approximately 120 GWh by 2030.
According to the CEO of Saft, a TotalEnergies subsidiary, ACC aims to become a frontrunner in the European automotive battery sector, establishing itself as a global innovator.
Prior to the establishment of ACC, TotalEnergies outlined its e-mobility strategy in 2019, which targets the installation of over 150,000 EV charging points across European cities by 2025. This ambitious plan includes 22,000 in Amsterdam, 3,000 in Antwerp, 1,700 in London, and 2,300 in Paris.
Additionally, TotalEnergies has expanded its commitments beyond Europe by forming joint ventures with China Three Gorges (CTG), one of China's largest clean energy enterprises, to promote e-mobility initiatives across Asia.
The ACC is focused on ensuring efficient battery designs while meeting the rising demand for EVs and other transportation modes such as trains and aircraft. Research and Development (R&D) centers have been established in Bruges, France, dedicated to pioneering new battery cell technologies, while a pilot production line is set to launch in Nersac, France.
This venture has emerged as part of a broader trend, with numerous automakers and energy firms forging alliances to enhance their presence in the EV market and advance sustainable mobility strategies.
Chapter 3: The EV Charging Landscape and Recent Developments
In November 2020, TotalEnergies acquired 2,000 EV charging stations from the Viessmann group in Germany, significantly expanding its presence in the European e-mobility sector. Following this, in July 2021, TotalEnergies secured over 1,500 charging points from Singapore's Bollore Group, establishing itself as the owner and operator of Singapore's largest EV charging network, Blue Charge.
After the acquisition, a TotalEnergies executive remarked on the significance of this expansion, highlighting the company's commitment to developing EV charging infrastructures in cities globally, including Paris, Amsterdam, London, and Brussels.
On April 27, 2022, ACC announced a supply agreement with Umicore, a Belgian materials company, to secure next-generation high-nickel cathode materials essential for battery production. Yann Vincent, an ACC spokesperson, emphasized that this agreement solidifies ACC's ambition to lead in European car battery production, promoting clean and efficient transportation solutions.
Moreover, the batteries supplied by Umicore will be recycled at ACC's testing facilities in France, illustrating a forward-thinking approach to developing recycling methods for future EV batteries—a crucial aspect of the evolving EV market.
Furthermore, solid-state battery technology has emerged as a key area of focus for future EV production. On October 19, 2022, ACC and ProLogium Technology entered into a memorandum of understanding (MOU) to collaborate on the development of solid-state batteries, addressing current supply chain challenges related to battery materials across Asia, Europe, and the United States.
Chapter 4: Strategic Engagements and Geopolitical Implications
A significant week unfolded for Elon Musk and Emmanuel Macron, marked by the Choose France Summit and Tesla's annual shareholder meeting. Musk's participation at the summit, held in Versailles on May 15, 2023, aligns with Macron's efforts to attract investments in the EV sector.
This summit has been a recurring event since 2018, but this year's focus is heightened due to Macron's recent controversial foreign policy remarks and domestic discussions surrounding the French retirement age.
During the 2022 Paris Auto Show, Macron engaged with various CEOs from Renault Group, Stellantis, and other prominent automotive companies, discussing advancements in the EV landscape. The event was notably highlighted by the impressive presence of Chinese EV manufacturers.
A pivotal development at the auto show was the announcement by French lithium miner Imerys to establish a new mine in Beauvoir, France. This initiative aims to position France as a leading supplier of lithium within the European Union, addressing the growing demand for domestic EV production amid rising geopolitical tensions with China and Russia regarding critical raw materials.
On October 24, 2022, Imerys CEO Alessandro Dazza introduced the "Exploitation de Mica Lithiumifère par Imerys" (EMILI) project, which aims to produce 34,000 tonnes of lithium hydroxide annually until 2028, potentially enabling the production of around 700,000 EVs each year. Dazza emphasized that sustainable practices are fundamental to the project's success, aiming to develop one of the most significant lithium projects in Europe.
Reports indicate that the French government is prioritizing lithium mining and other critical metals as a key component of its economic strategy, complementing initiatives by other mining firms like Eramet, which plans to invest €100 million in mining projects in Argentina.
The EMILI project is crucial for reducing dependence on Chinese lithium suppliers in the European EV market while also promising to create approximately 1,000 jobs in the Auvergne-Rhône-Alpes region of France.
Chapter 5: The Future of EVs and Regulatory Developments
French automakers showcased their innovations at the 2023 Consumer Electronics Show (CES), with Stellantis making waves with the introduction of the Ram 1500 Revolution electric pickup truck.
The conversation around EV charging networks is reshaping transportation and mobility, with a notable announcement from Mercedes-Benz regarding the rollout of a new EV charging network in North America by 2027.
Another prominent French automotive brand, Peugeot, unveiled its new concept car, Inception, at CES 2023. This vehicle, developed on Stellantis' future battery electric vehicle (BEV) platform, features an 800-volt, 100kWh battery and an innovative four-wheel drive system that eliminates reliance on traditional charging infrastructure.
On October 28, 2022, the European Council and European Parliament reached an agreement to ban the sale of new gasoline and diesel vehicles by 2035, as part of a broader initiative to achieve zero-emission road mobility. This legislation aims to cut CO2 emissions from new vehicles by 100% relative to 2021 levels, signaling a significant shift in the automotive landscape.
While smaller automakers have certain exemptions, this agreement is seen as a significant victory for environmental advocacy groups pushing for a transition to zero-emission vehicles throughout the EU.
As part of the "Fit for 55" framework, which aims to reduce greenhouse gas emissions by 55% by 2030, the announcement was celebrated by supporters within the EU, including Dutch MEP Jan Huitema, who highlighted the clarity it brings to the automotive industry.
In light of these developments, the European Automobile Manufacturers' Association (ACEA) is advocating for greater alignment among producers and suppliers to reduce greenhouse gas emissions through renewable energy initiatives and a commitment to zero-emission transportation.
Chapter 6: Anticipating the Future of Electric Mobility
To grasp the future trajectory of industrial policies in the context of growing EV market shares, it is essential to consider the influence of geopolitical trends on electric mobility:
- EV Charging Networks are set to redefine transportation and mobility, ushering in a new era of Industry 4.0 at the consumer level.
- Raw Materials are increasingly critical in EV production, as regulatory scrutiny intensifies around supply chains involving China and Russia for essential metals.
- Battery Investments will compel producers to secure supply chains in vulnerable regions, with an emphasis on Environment, Social, and Governance (ESG) frameworks guiding corporate strategies.
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