What's Happening?
The European Investment Bank (EIB) has allocated €250 million in financing to Nexans, a global leader in cable system design and manufacturing. This funding is aimed at supporting Nexans' research, development, and innovation programs from 2024 to 2029, alongside various industrial investments. The financing is structured over two contracts, including a €190 million loan backed by the InvestEU program, which supports innovation and sustainability in strategic sectors of the EU economy. Nexans plans to use the funds to enhance its copper recycling capabilities, expand production capacities, and support the energy transition towards carbon neutrality by 2050.
Why It's Important?
This investment is significant as it aligns with the European Union's REPowerEU program, which aims to strengthen energy autonomy and promote electrification and decarbonization. Nexans' activities are crucial in advancing the energy transition, contributing to EU decarbonization targets. The financing will enable Nexans to accelerate its innovation and production capacities, securing access to copper, a vital raw material. This move supports the EU's broader goals of sustainability and competitiveness in the energy sector, potentially influencing global energy markets and policies.
What's Next?
Nexans plans to construct a new factory in Lens by 2026, increasing copper wire production and recycling capabilities. The company will also strengthen its sites in Charleroi, Erembodegem, and Calais to support growth in offshore wind and submarine interconnections. Additionally, Nexans will expand its Bourg-en-Bresse site to meet growing electrification demand in France and Western Europe. These projects are expected to bolster Nexans' industrial foothold and contribute to the circular economy.
