What's Happening?
The European Investment Bank (EIB) has granted €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 industrial investments. The financing will enable Nexans to enhance its cable production and copper recycling capacities, contributing to the circular economy. The investment aligns with the REPowerEU program, which seeks to bolster the European Union's energy autonomy. Nexans plans to construct a new factory in Lens by 2026, increasing copper wire production by over 50% and recycling up to 80,000 tonnes of copper annually. Additionally, the company will expand its capacity at various sites to meet growing electrification demands across Western Europe.
Why It's Important?
This investment is significant as it supports Nexans' role in the energy transition, crucial for meeting EU decarbonization targets. By enhancing production capacities and securing raw material supplies, Nexans can contribute to sustainable electrification and European industrial autonomy. The funding also underscores the EU's commitment to innovation and sustainability in strategic sectors. Nexans' efforts in copper recycling and low-carbon cable production are vital for reducing environmental impact and promoting a circular economy. The investment is expected to strengthen Nexans' industrial foothold and support growth in offshore wind and submarine interconnections.
What's Next?
Nexans will proceed with its planned industrial and innovation strategies, including the construction of new facilities and expansion of existing sites. The company aims to accelerate its production capacity and copper recycling efforts, supporting the energy transition and European industrial autonomy. Nexans' projects are aligned with the Science Based Targets initiative, aiming for carbon neutrality by 2050. The EIB's continued support may lead to further investments in sustainable electrification and innovation.
