Electric vehicle batteries

Europe is projected to become a renewable energy powerhouse and the second largest market globally for electric vehicles (EVs). Thanks to robust EU regulations on CO2, strong commitment from European OEMs, and increasing local demand, sales of EVs are set to increase dramatically, reaching 7 million by 2025. To support this growth, Lithuania can offer just the right conditions to meet the growing demand for battery gigafactories that would follow sustainable manufacturing guidelines. Access to renewable energy resources, a well-developed logistics network, and a rich culture in engineering – these are just some of the ingredients for fostering sustainable manufacturing operations that Lithuania offers.

Reasons to choose Lithuania

1. Fast-track entry

The Lithuanian Government is on hand and ready to offer support for larger scale projects. This includes assistance with site preparation, infrastructure, and construction permits. German automotive components manufacturer HELLA is just one of the latest in a string of international investors to benefit from Lithuania’s fast-track set up processes.

 

Hella’s set up timeline

2. A strong renewable energy strategy for sustainable manufacturing

In Lithuania, more than 25% of the energy consumed comes from renewable sources, meaning the country is already exceeding EU targets for 2020. And the share of green energy is set to grow exponentially in the upcoming decade, putting Lithuania in a leading position in the region. Alongside being green, Lithuania’s energy sources are also robust and reliable. It has experienced zero outages, offers direct access to the largest energy market in Europe (NordPool), and has three energy links to Sweden, Finland and Poland, ensuring a reliable and cost-competitive supply.

Expected share of renewable energy in the final balance of energy consumption in Lithuania

Source: National Energy Independence strategy, 2018

3. Skilled engineers ready to drive your business

Lithuanian engineers have built a reputation with international companies for their strong work ethic, ability to learn quickly, and willingness to go the extra mile. These specialists are not just problem solvers: they drive solutions with their innovative thinking. What’s more, Lithuanian universities are taking the initiative to steer the dialogue between academia and business so that study courses are tailored to meet industry needs.

Industry-university cooperation

1st

for university-industry collaboration in R&D among CEE countries

Fluent in English

85%

of young professionals are fluent in English

Stem students

28.6%

STEM students

4. Easy access to major OEMs thanks to well-connected infrastructure

With the largest ice-free seaport in the Baltics, plus high quality roads and rail services direct to Germany, China and Russia, Lithuania has well-developed and flexible logistics infrastructure. And this, coupled with the country’s strategic location, allows for fast, efficient and cost-effective delivery to major OEMs.

By sea

The Klaipėda State Seaport is ice-free and is the largest port in the Baltics. It can handle shipments of raw materials and components from any location on the globe, with shipping from China taking 35 days (Source: World Economic Forum, Global Competitiveness Report, 2017-2018).

By road

Lithuania has 3x more truck licenses per capita than Germany, and 56% of total freight is transported by road. It is ranked 1st in the CEE region for the quality of its roads (Statistics Lithuania, 2017).

By rail

More than one third of all freight in Lithuania is transported by rail , and Lithuania offers direct rail cargo services to Germany, Russia and China. The “Sun Train” container train  connects Lithuania and China directly, with deliveries in 15 days (Source: Lithuanian Railways, 2017)

5. A cost effective and business friendly environment

From establishing a company through to starting operations, companies get things done faster in Lithuania. Ranked alongside Ireland, Germany, and Switzerland for its business environment, Lithuania can also offer a highly competitive cost to quality ratio.

Average Hourly Labour Costs Doing Business Ranking 19

Have questions? Contact our team

Povilas Mockevičius
Senior Investment Advisor | Strategic projects team
Povilas Mockevičius
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