The global electric vehicle manufacturing race is accelerating as automakers and battery companies invest billions of dollars in new factories across the United States, Brazil, Morocco, Spain, India, South Korea, Japan, Indonesia, Thailand and Mexico.
The investment push reflects efforts by governments and manufacturers to reduce dependence on China, which accounted for more than 80 percent of global battery-cell production and about 70 percent of electric-car production in 2025.
But building factories outside China does not automatically make EV manufacturing competitive. According to the IEA Global EV Outlook 2026 battery analysis, battery-production costs in Europe and the United States can be as much as 50 percent higher than in China without public support. Average Chinese battery-pack prices in 2025 were 30 percent below North American prices and 35 percent below European prices.
Against this backdrop, these 10 EV and battery projects stand out for investment, manufacturing capacity, jobs, localization and strategic importance.
1. BlueOval SK Battery Plants: More Than 120 GWh in the US
The former BlueOval SK project represents one of the biggest investments in the U.S. battery manufacturing industry.
Ford and SK dissolved their BlueOval SK joint venture in 2026, leaving SK On in control of the Tennessee facility and Ford controlling the two Kentucky plants. SK On Tennessee is preparing for future mass production, currently projected for 2028.
The original project was backed by a $9.63 billion U.S. Department of Energy loan and designed for more than 120 GWh of annual battery capacity.
The U.S. Department of Energy BlueOval SK project estimated that the three facilities could support more than 5,000 construction jobs and up to 7,500 operating jobs.
The restructuring makes future utilization critical, but the factories remain strategically significant assets for U.S. battery localization.
2. BYD Camaçari Targets 300,000 EVs in Brazil
BYD’s Camaçari manufacturing complex is emerging as one of Latin America’s most important EV production hubs.
BYD is investing R$5.5 billion, with initial annual capacity of 150,000 vehicles and a second-phase target of 300,000 vehicles. The project could eventually generate as many as 20,000 direct and indirect jobs.
The company is moving beyond initial SKD assembly toward stamping, welding, painting and increased sourcing of Brazilian components.
Brazil is strategically important because Chinese-made models represented more than 90 percent of Brazilian battery-electric vehicle sales in 2025. BYD’s factory will test whether Chinese EV manufacturers can maintain their cost advantage while localizing production closer to international customers.
3. Gotion Plans Up to 100 GWh Battery Capacity in Morocco
Gotion High-Tech’s Kenitra project could transform Morocco into a major battery manufacturing and export hub.
Morocco approved an investment of 12.8 billion dirhams for the initial 20 GWh phase, while the project’s long-term ambition is 100 GWh.
The government expects the development to generate 17,000 direct, indirect and induced jobs, including approximately 2,300 highly qualified positions. More than 2,000 direct jobs are planned during the first phase.
The combination of battery and materials manufacturing, Morocco’s established automotive industry and proximity to Europe could give Kenitra an important position in Europe’s future EV supply chain.
4. Volkswagen PowerCo Valencia Targets 60 GWh
Volkswagen Group’s PowerCo battery factory in Valencia is central to Europe’s strategy of reducing dependence on imported battery cells.
The Spanish gigafactory is designed for an initial 40 GWh of annual production capacity, expandable to 60 GWh.
Volkswagen expects more than 3,000 direct jobs, while suppliers and related industries could potentially support another 30,000 indirect jobs.
The plant will manufacture Volkswagen’s unified battery cell and use electricity from solar and wind sources.
Its biggest challenge will be cost competitiveness as European battery manufacturers attempt to narrow China’s substantial manufacturing-cost advantage.
5. Agratas Sanand Builds India’s 20 GWh Battery Base
Agratas’ Sanand project is an important part of India’s push to establish domestic battery-cell manufacturing.
The first phase will have 20 GWh of capacity, with production targeted for 2027. The factory occupies around 320 acres.
Construction has already supported more than 2,000 workers and over 700 vendor staff. Agratas is also emphasizing domestic sourcing, including Indian steel and locally sourced construction materials.
The Agratas Sanand battery factory could strengthen India’s EV and energy-storage ecosystem while generating demand for battery engineering, automation and advanced manufacturing skills.
6. Hyundai Ulsan Targets 200,000 EVs Annually
Hyundai is investing approximately KRW 2 trillion, or $1.53 billion, in its dedicated EV manufacturing facility in Ulsan, South Korea.
The 548,000-square-meter factory is designed to manufacture 200,000 EVs annually, with a Genesis electric SUV planned as its first vehicle.
Unlike battery-cell projects, Hyundai’s Ulsan investment focuses primarily on vehicle manufacturing. Its advantages include South Korea’s mature automotive supply chain, skilled workforce, engineering capabilities and export infrastructure.
7. Toyota Adds 9 GWh of Next-Generation Battery Capacity
Toyota’s next-generation battery investment is smaller in capacity than several gigafactories but potentially significant technologically.
Toyota and Prime Planet Energy & Solutions plan 9 GWh of annual production capacity for next-generation performance batteries.
Toyota is simultaneously pursuing all-solid-state batteries, potentially giving Japan a stronger position in advanced EV battery technology if solid-state manufacturing can move successfully from development to commercial-scale production.
8. HLI Green Power Builds Indonesia Battery Hub
The Hyundai Motor Group-LG Energy Solution-linked HLI Green Power project has invested approximately $1.1 billion in its first phase in Indonesia.
The factory provides 10 GWh of annual battery-cell capacity and can manufacture approximately 32.6 million cells, enough batteries for around 150,000 EVs. Commercial production started in April 2024, with a pathway toward 20 GWh.
Indonesia’s nickel resources provide a supply-chain advantage, although battery chemistry is changing. LFP batteries accounted for more than 55 percent of global EV battery deployment in 2025, reducing the industry’s dependence on nickel-intensive chemistries.
9. BYD Rayong Produces 150,000 EVs in Thailand
BYD completed its Rayong factory in approximately 16 months and inaugurated the facility in July 2024.
The plant can manufacture 150,000 vehicles annually and was projected to support around 10,000 jobs.
Its operations cover stamping, welding, painting, final assembly and component manufacturing. Thailand’s extensive automotive supplier network also makes Rayong an attractive production base for domestic and export markets.
10. BMW Invests €800 Million in Mexico EV Expansion
BMW is investing €800 million at San Luis Potosí in Mexico as it prepares the facility for Neue Klasse electric vehicles.
About €500 million is being allocated to a new high-voltage battery assembly center covering approximately 85,000 square meters and expected to add more than 500 employees.
Neue Klasse production in Mexico is scheduled from 2027.
BMW’s strategy differs from large cell-manufacturing projects by integrating high-voltage battery assembly directly with vehicle manufacturing, potentially reducing logistics complexity and strengthening localization.
Can New EV Factories Match China on Cost?
Manufacturing capacity alone will not eliminate China’s competitive advantage.
China produced more than 80 percent of global battery cells in 2025, approximately 85 percent of cathode active materials and more than 90 percent of anode active materials. Factories elsewhere can therefore remain dependent on Chinese materials, components and manufacturing equipment even when final assembly takes place locally.
Production efficiency presents another challenge. The IEA says new battery factories can take more than five years to approach nominal production capacity, while competitive manufacturing requires yields exceeding 90 percent and increasingly automated production.
This means the EV manufacturing battle will increasingly be decided by factory utilization, production yields, automation, electricity costs, supply-chain localization and customer demand rather than headline gigawatt-hour capacity alone.
EV Factory Race Shifts to Jobs, Skills and Local Supply Chains
The biggest economic impact may extend beyond the factories themselves.
Battery and EV projects generate demand for construction, logistics, component suppliers, engineering, automation, maintenance and technical training. They can also create specialized capabilities in battery engineering, quality control and advanced manufacturing.
The United States is building large-scale battery capacity, Europe is pursuing domestic cell manufacturing, India is establishing a battery ecosystem, Morocco is positioning itself as an export hub, Indonesia is leveraging its raw-material base, and Brazil, Thailand and Mexico are expanding localized EV manufacturing.
Yet China’s manufacturing leadership remains formidable.
The winners in the next phase of the global EV and battery manufacturing market will not necessarily be companies announcing the largest factories. They will be manufacturers that achieve high utilization, yields above 90 percent, competitive battery costs, reliable customers and increasingly localized supply chains.
The EV factory race is therefore moving beyond simply building manufacturing capacity outside China. The real challenge is building factories that can compete with China on cost, scale, technology and manufacturing efficiency.
SHAFANA FAZAL