Stellantis and Chinese battery maker CATL will invest 4.1 billion euros ($4.33 billion) in a factory making electric vehicle batteries in Zaragoza in northern Spain, they said on Tuesday.

The 50-50 joint venture is expected to start production by the end of 2026 and could reach a capacity of 50 gigawatt hours, depending on the evolution of the EV market in the region and on support from authorities, the two companies said in a statement.