The geopolitics of batteries: China drives the battery value chain and Europe struggles for energy sovereignty. Key aspects are analyzed in three memos, highlighting the geopolitical impact, cybersecurity, and export controls on cathode technology. Europe needs a comprehensive strategy to compete in new battery chemistries.
The CHIPS and Science Act of 2022 allocated billions of dollars to manufacturing in the US, creating 15,000 semiconductor jobs and showing a positive impact on employment in this sector. The law aims to stimulate the industry and strengthen economic security.
Donald Trump promotes peace through force in his National Security Strategy, reinforcing a militaristic approach to safeguard US interests. His bet on military power over soft power distances him from potential allies and does not guarantee security against current threats. His aggressive policies generate tensions with the European Union and cause an increase in military spending, weakening the welfare state. Trump seeks to maintain the global status quo, ignoring peaceful alternatives. The president’s decisions reinforce the hegemonic vision of the US, distancing itself from international cooperation and generating conflicts.
The EU must increase visibility in lithium iron phosphate cathode technology supply chains, as China controls lithium iron phosphate cathode technology and dominates the battery market. McKinsey estimates that by 2030, Europe and North America will have between 5% and 10% of global battery production. The 2025 battery technology export restrictions impact European energy storage sovereignty. China seeks to maintain its dominance in battery value chains to exploit dependencies.
Italians see an unstable world, trust more in the EU and less in NATO, perceive the US and Russia negatively, believe the world has worsened since Trump’s election, and consider Russia the main global threat. They want peace and a quick solution to the Ukraine conflict.
