Next e.GO Mobile: Investment of 100 million euros for the production of electric cars in the country

The foundations of a large and very important investment with multiple benefits for Greece were laid on Wednesday. The production of full-scale electric vehicles in Greece, “Electric Cars e.GO Made in Greece”, enters the … socket of implementation with the first important step, the first official signing of the “Letter of Intent to Cooperation” by Enterprise Greece (Greek Investment and Foreign Trade Company SA of the Ministry of Foreign Affairs) and the German car manufacturer Next.e.GO SE for the creation of a factory for the production of electric cars in Greece.

The amount of investment in the start-up phase is estimated at 100 million euros and is expected to employ 1,000 employees initially, while the indirect positions in the wider investment support ecosystem will amount to 5,500. Based on the estimates, the full agreement will be ready within the next 3-6 months, while the project will be completed in 24 months until the full operation of an e.Go production unit in Greece.

The project was presented by the Deputy Foreign Minister, responsible for Economic Diplomacy, Costas Frangogiannis, while the CEO of Enterprise Greece, George Filiopoulos, signed the agreement, together with the Chairman of the Board, Next.e.GO SE Prof. Ulrich Hermann.

What does the investment plan include?

In particular, the two sides agreed on a “principle of cooperation”, which plans to set up a working group, in order to record the exact framework and the conditions for the implementation of the large investment of the German company in Greece, which will be included in strategic projects and the relevant incentive framework since, in addition to car assembly, Next.e.GO SE will also invest in the establishment of a Technology and Innovation Campus in our country, with respect for the environment and utilization of domestic human resources.

The investment plan includes, in particular, the production of metal components, the external thermoforming, the final assembly of vehicles and quality control. Also the hiring of specialized staff and an extensive plan of continuous training at the company’s headquarters in Aachen, Germany. It is also planned to establish a Technology and Innovation Campus that will connect scientific and technological research with production.

The benefits for our country

The benefits for the Greek economy, as emphasized, will be particularly important: Increased employment, transfer of know-how from Germany to Greece in a sector unprecedented for Greek data, emergence of innovative technology, but also the emergence of Greece in the international market as one of the leading European countries in e-mobility, through the creation of domestic production capacity. Development of a strong local network of suppliers for the production needs of the factory unit (metal parts, aluminum, textiles and the interior of vehicles, crystals, etc.). Attracting the investment interest of other internationally renowned electric vehicle industries, gradually transforming Greece into a reference country for electric vehicles and an international brand name. Ability to quickly access e-mobility at an affordable cost to the general population.

The investment will be particularly important due to its innovative nature, as it promotes the circular economy, with its key feature being a sustainable production process, with extremely low carbon dioxide emissions. Production will be based on the use of highly durable, environmentally friendly materials, with aluminum as the main material in construction, which could lead to strategic partnerships with the dynamic domestic aluminum industry. The reduced planning-programming time will be of key importance, copying proven procedures and equipment solutions in collaboration with the e.GO network. The participation of reliable suppliers of materials, machinery and equipment with international project experience. The application of e.GO IT systems, Industry 4.0 factory technology and digital integration in the e.GO production network.

Investment statements

“Greece is returning dynamically to the investment map of large companies. A new perspective opens for our country with this agreement “, stressed Mr. Frangogiannis, explaining that the facility will have a production capacity of 30,000-45,000 cars per year. “With this agreement, Enterprise Greece highlights the political value of the reform that strengthened Economic Diplomacy”, the Deputy Foreign Minister pointed out and added: “We have a lot of work ahead of us for its implementation, but also for the facilitation of other business perspectives that revive the industrial production sector in our country “. This project will highlight Greece in the international market as one of the leading European nations in e-mobility, through the creation of domestic production capacity, he added.

Today’s Letter of Intent to Cooperation that we signed, stressed the CEO of Enterprise Greece, George Filiopoulos, “proves in practice what we claim from the beginning of the pandemic, that the country continues to show increased investment interest in implementing projects of significant economic impact on the nation. “Enterprise Greece continues, even in difficult conditions, to perform its work, to attract investments and to improve the country’s image abroad”.

The new image of Greece that this project gives both in terms of e-mobility and in terms of its potential for emblematic investments at a global level was highlighted by the President of Enterprise Greece, Ioannis Smyrlis.

At Next.e.GO SE we focus on the real life cycle of our products, said Ali Vezvaei, Member of the Board of Next.e.GO SE and CEO of the Group. “This includes,” he explained, “not only the electric car and its innovative production system, but also the positive economic impact it offers to the host countries of the investment, by increasing employment, highlighting technology and enlarging the ecosystem of support companies.” Still proud of his co-operation with Greece, he noted that this is an excellent example of how a public-private partnership could offer long-term benefits not only to the environment but also to local communities.

For his part, Professor Hermann, CEO of Next.e. Go SE, stated that “the design and industrial features of e.GO Life 4.0 production technology on the one hand and the flexible business collaboration models it promotes on the other offer Next.e. Go SE the ability to transform urban mobility across Europe and beyond. The political choice of the Greek government for carbon-free mobility responds perfectly to our mission in Next.e.GO SE “. Expressing his satisfaction for the support of the Greek government, he stressed that this production is unique, and pointed out the determination of the German company for the successful outcome of the project.

The signing of the agreement took place at noon online in the presence of Prime Minister Kyriakos Mitsotakis, and the heads of the relevant ministries, the Minister of Development and Investment, Adonis Georgiadis, the Deputy Minister of Development and Investment, Nikos Papathanassos, the Deputy Minister of Development of the general secretary of International Financial Affairs and president of Enterprise Greece, Ioannis Smyrlis and of the Legal Advisor of Next.e.GO SE, Stavros Kostantinidis.

“We are here to help overcome any bureaucratic hurdles, to find access to any European action and to facilitate this investment as much as we can,” said Development and Investment Minister Adonis Georgiadis at the signing ceremony of the “Letter of Intent to Cooperation” between Enterprise Greece and Next.e.GO SE in the presence of Prime Minister Kyriakos Mitsotakis. The minister stressed that “it is extremely important that this investment diffuses from our common vision for a sustainable future.”

Source: ΑΜΠΕ –