The European Commission has approved a €200 million ($232 million) Spanish State aid scheme aimed at supporting strategic investments in manufacturing capacity across the electric vehicle (EV) value chain, in line with the objectives of the EU’s Clean Industrial Deal.
The scheme, cleared under the Clean Industrial Deal State Aid Framework (CISAF) adopted in June 2025, is designed to accelerate the transition towards a net-zero economy by strengthening clean technology manufacturing in Spain.
Under the measure, Spain will provide direct grants to support investments that expand manufacturing capacity for battery and energy storage technologies and hydrogen technologies used in electric vehicles. The scheme will also support the production of key components for these technologies as well as the production and recovery of critical raw materials, including the use of secondary raw materials.
The programme will be open to companies across Spain and will remain available until 30 June 2026.
The European Commission concluded that the measure is necessary, appropriate and proportionate to support the green transition and the development of economic activities that contribute to the goals of the Clean Industrial Deal. The approval was granted under EU State aid rules in line with Article 107(3)(c) of the Treaty on the Functioning of the European Union.
The Clean Industrial Deal State Aid Framework, adopted by the Commission on 25 June 2025, enables EU member states to support sectors critical to achieving a net-zero economy. The framework allows aid for projects that expand renewable energy deployment, support industrial decarbonisation, strengthen clean technology manufacturing and help de-risk private investment in clean energy and circular economy initiatives.
Under the framework, member states can provide support for investments in technologies covered by the Net Zero Industry Act, including batteries, solar panels, wind turbines, heat pumps, electrolysers and carbon capture technologies, as well as for the production and recycling of related critical raw materials.
