How Can IAA Bring Local Cleantech Manufacturing? - CleanTechnica

The article from CleanTechnica discusses the critical role of local content criteria within the EU’s Industrial Accelerator Act (IAA) as the primary mechanism to foster a resilient and locally based cleantech manufacturing industry, particularly in battery production. Given the strategic importance of batteries for Europe’s economic and military security, and the lack of significant EU Commission action on battery production support or trade defense, the article argues that conditioning public funding (such as EV subsidies) on meeting "Made in EU" requirements is essential. This approach is intended to create a viable business case for European battery manufacturers like ACC, Powerco, and Verkor, encouraging private investment and ensuring the survival of homegrown industry players. The article emphasizes that these local content rules do not restrict market access but serve as incentives for public support, with a gradual tightening of criteria from broader "friendshoring" to an EU-EEA focused framework. The article also addresses concerns about cost impacts, noting that while EU-made batteries might increase EV prices modest