Comprehensive analysis of Poland's automotive industry, focusing on battery leadership, electromobility transformation, and global market positioning.
Poland's automotive sector has emerged as the undisputed leader in electric vehicle battery production in Europe and a powerhouse in automotive component manufacturing, with the sector employing 197,000 people directly and generating €111.6 billion in total revenues (2023). Poland ranks #1 in Europe and #2 globally for lithium-ion battery production, accounting for 6% of global output and 60% of Europe's EV battery exports. With automotive component exports reaching €18.0 billion in 2023 (7th globally) and massive investments in battery gigafactories, hydrogen technology, and autonomous vehicle infrastructure, Poland is positioning itself at the forefront of the global automotive transformation. This comprehensive report analyzes Poland's battery leadership, electromobility ecosystem, production capabilities, and strategic advantages in the rapidly evolving automotive landscape of 2024-2025.
Poland leads Europe and ranks #2 globally in lithium-ion battery production, with 86 GWh current capacity expanding to 122 GWh by 2027, supplying 60% of Europe's EV battery exports.
The automotive sector generated €51.8 billion in production and €59.8 billion in trade/repair revenues (2023), representing ~8% of Poland's GDP.
Poland ranks 7th globally in automotive component exports, with €18.0 billion in exports (2023), growing 3.9% year-over-year and supplying major OEMs worldwide.
The automotive sector employs 197,000 people directly (3.1% of Poland's business sector workforce), with up to 400,000 total including indirect employment.
Poland has established itself as the uncontested leader in electric vehicle battery production in Europe and the second-largest producer globally, a position that represents one of the most significant industrial achievements in Central and Eastern Europe. As of 2024, Poland ranks #1 in Europe and #2 globally for lithium-ion battery production, accounting for an impressive 6% of total global battery manufacturing output. This leadership position is not merely aspirational—it is a current reality backed by massive production facilities, billions in investments, and sophisticated supply chains.
The scale of Poland's battery manufacturing capabilities is staggering. Current annual production capacity stands at 86 gigawatt-hours (GWh), with expansion projects underway that will increase capacity to 115 GWh in the near term and a planned 122 GWh of gigafactory capacity by 2027. To put this in perspective, Poland supplies approximately 60% of all electric vehicle battery exports from Europe, making it the continent's primary source of this critical technology for the automotive industry's electrification transformation.
#2 globally, 6% of world production
Massive gigafactory expansion
Majority of Europe's EV batteries
Recent battery facility projects
Poland's battery leadership is attracting unprecedented levels of foreign direct investment from global technology leaders and automotive suppliers. Recent major investments demonstrate the confidence international companies have in Poland's manufacturing ecosystem and strategic position in the EV supply chain:
| Company | Investment | Facility Type | Timeline | Government Support |
|---|---|---|---|---|
| Ascend Elements (USA) | $1.25B (PLN 5B) | Advanced battery materials (pCAM) manufacturing | 2025-2027 | Up to $320M Polish government incentives |
| Lyten (USA) | Undisclosed | Battery Energy Storage Systems (BESS) - Northvolt facility acquisition | 2025 | - |
| EU Innovation Fund | €852M total | Six innovative EV battery cell manufacturing projects (includes Polish facilities) | 2025-2027 | EU grant funding |
| Existing Gigafactories | Ongoing expansion | Capacity expansion from 86 GWh to 115-122 GWh | 2024-2027 | - |
Poland's battery manufacturing leadership is underpinned by a critical strategic advantage: access to world-class copper ore deposits. Copper is an essential raw material for electric vehicle production, used extensively in electric motors, battery systems, inverters, electrical wiring, and charging infrastructure. Poland is one of the world's largest copper producers, with the Nowa Sól copper deposit recognized as one of the largest and highest-quality deposits globally.
This domestic access to copper provides Polish battery and EV component manufacturers with supply chain security, cost advantages, and strategic independence that few other European countries can match. As global demand for copper in electromobility applications continues to surge—driven by the proliferation of electric vehicles and charging networks—Poland's copper resources become an increasingly valuable national asset that enhances the competitiveness of its automotive and battery manufacturing sectors.
Poland's battery manufacturing prowess is matched by rapidly accelerating domestic adoption of electric vehicles, creating a virtuous cycle of production and consumption that drives the sector's growth. As of June 2025, 98,813 battery electric vehicles (BEVs) were registered in Poland, with the first half of 2025 seeing 18,553 new BEV registrations—a remarkable 51% increase year-over-year.
Market projections indicate that Poland is on track to achieve approximately 100,000 electric vehicle sales annually by 2025, representing a market share of 14.5% of all new vehicle sales. This rapid adoption is driven by improving charging infrastructure, government incentives, corporate fleet electrification, and growing consumer awareness of total cost of ownership advantages. Through November 2024, approximately 14,800 new battery electric vehicles were registered, demonstrating consistent month-over-month growth in EV adoption.
Beyond its battery manufacturing dominance, Poland is positioning itself as a leader in hydrogen technology development, with massive investments in both renewable "green" hydrogen and low-emission hydrogen production. The ORLEN Group, Poland's integrated energy conglomerate, has secured over PLN 1.7 billion in non-repayable support from Poland's National Recovery Plan to develop two strategic hydrogen programs: Green H2 and Hydrogen Eagle.
These programs represent a comprehensive approach to hydrogen technology that combines cutting-edge renewable energy applications with innovative waste-to-energy solutions. The Green H2 program focuses on producing renewable hydrogen through electrolysis powered by renewable energy sources (RES), while the Hydrogen Eagle program develops low-emission hydrogen production from municipal waste. This dual-track strategy ensures Poland can scale hydrogen production rapidly while minimizing environmental impact and contributing to circular economy objectives.
Poland's hydrogen development strategy is closely aligned with its automotive and transportation sectors. Hydrogen fuel cell technology offers significant advantages for heavy-duty vehicles, long-haul trucks, buses, and industrial applications where battery-electric solutions face range, weight, or refueling time limitations. Poland's commercial vehicle manufacturing expertise—particularly in truck and bus production—positions the country to become a leader in hydrogen-powered commercial vehicles.
The integration of hydrogen technology with Poland's existing automotive manufacturing capabilities creates opportunities for domestic production of hydrogen fuel cell vehicles, hydrogen refueling infrastructure, and related components. Polish companies such as Solaris, a leading European electric bus manufacturer, are well-positioned to expand into hydrogen fuel cell bus production, leveraging Poland's hydrogen infrastructure development and manufacturing expertise.
The Polish automotive industry is a cornerstone of the national economy, contributing approximately 8% of GDP and representing one of the most important manufacturing sectors in the country. The industry employs 197,000 people directly (as of September 2024), accounting for approximately 3.1% of all people employed in Poland's business sector. When indirect employment is included—such as suppliers, logistics providers, and service businesses—total employment in the automotive ecosystem potentially reaches 350,000 to 400,000 people.
The sector's economic footprint is substantial and growing. In 2023, automotive sector revenues totaled €111.6 billion, comprising €51.8 billion in the production area and €59.8 billion in the trade and repair area. This bifurcated structure reflects Poland's dual strengths: advanced manufacturing capabilities for components and vehicles, combined with a sophisticated distribution, retail, and aftermarket services network serving both domestic and international markets.
Automotive sector share of Polish GDP
3.1% of business sector workforce
Production + trade/repair sectors
Automotive manufacturers & suppliers
Poland's automotive production landscape underwent significant transformation in 2024, reflecting broader European automotive industry challenges and the accelerating transition to electromobility. Total vehicle production in 2024 reached approximately 555,000-600,000 units, representing a decline from 2023 levels due to restructuring at major OEM facilities, particularly Stellantis plants producing passenger cars.
The production breakdown reveals important sectoral dynamics. In 2023, Poland produced 574,600 passenger cars and 308,500 trucks, establishing the country as a major producer across multiple vehicle categories. However, 2024 saw passenger car production decline significantly—dropping approximately 28% year-over-year to around 216,200 units—primarily due to temporary production pauses and capacity adjustments at Stellantis facilities (Fiat, Opel, Jeep, Alfa Romeo brands). This decline was partially offset by strong performance in the commercial vehicle segment, which saw continued growth throughout 2024.
| Vehicle Category | 2023 Production | 2024 Production (Est.) | YoY Change | Market Context |
|---|---|---|---|---|
| Passenger Cars | 574,600 units | ~216,200 units | -28% | Stellantis restructuring, EU demand weakness |
| Trucks | 308,500 units | Strong growth | +13.8%* | Commercial vehicle demand robust |
| Buses & Commercial | N/A | 225,047 units* | +13.8% | Jan-Aug 2024 data, strong trajectory |
| Total Production | ~883,000 units | ~555,000-600,000 units | -25% to -35% | Industry transition year |
* Jan-Aug 2024 data for buses/commercial vehicles; full-year figures estimated based on trend continuation
The 2024 production decline in passenger cars must be understood in the context of broader European automotive industry transformation. Stellantis, one of Poland's largest automotive employers, implemented temporary production pauses at multiple facilities as part of a strategic restructuring to address overcapacity, weak European demand for traditional vehicles, and accelerate the transition to electric vehicle production. These adjustments included temporary closures of Fiat, Jeep, and Alfa Romeo production lines, with some plants suspending operations for 8-day periods.
Critically, this production decline does not reflect a weakening of Poland's competitive position in automotive manufacturing. Rather, it represents the industry's necessary adjustment to rapidly changing market conditions, with production capacity being reallocated from traditional internal combustion engine (ICE) vehicles to electric vehicles and related technologies. Poland's strengths—battery manufacturing leadership, skilled workforce, cost competitiveness, and strategic location—position the country to emerge from this transition period in a stronger competitive position than most European automotive manufacturing centers.
While vehicle assembly has faced cyclical challenges, Poland's automotive component manufacturing sector demonstrates consistent strength and global competitiveness. Poland ranks 7th globally in automotive component exports, with export value reaching €18.0 billion in 2023, representing a solid 3.9% year-over-year increase. This achievement places Poland among an elite group of automotive component exporters that includes Germany, China, Japan, the United States, Mexico, and South Korea.
Polish component manufacturers supply virtually every major automotive Original Equipment Manufacturer (OEM) globally, with products ranging from engine components and transmission systems to electronic control units, safety systems, interior components, and increasingly, electric vehicle-specific technologies such as battery management systems, electric motors, and power electronics. The industry's export success is built on a foundation of high quality, competitive pricing, on-time delivery, and the ability to meet stringent international automotive quality standards.
Poland's domestic automotive market demonstrated robust growth in 2024, providing a strong foundation for the country's automotive ecosystem. New passenger car registrations reached 551,600 units in 2024, representing an impressive 16% year-over-year increase. This growth significantly outpaced many other European markets and reflected strong consumer confidence, favorable financing conditions, and pent-up demand from previous years.
Growth was particularly strong among individual buyers, who increased purchases by 11% year-over-year, while alternative fuel vehicles (including hybrids, plug-in hybrids, and battery electrics) saw registrations surge by 15%. The first quarter of 2025 continued this positive trajectory, with 142,000 new passenger cars registered from January to March, a 2.5% increase compared to the same period in 2024.
Poland is establishing itself as a significant player in autonomous vehicle technology development, leveraging its strong IT sector, engineering talent pool, and collaborative research ecosystem. The ITS Motor Transport Institute in Warsaw serves as Poland's premier research center dedicated to autonomous vehicle technology, working not only to bring autonomous vehicles to Poland but to develop Polish contributions to the global autonomous vehicle industry.
A particularly strategic initiative is the CK:PAP project, designated as a strategic national project designed to prepare Poland for the safe implementation of automated and autonomous vehicles. This comprehensive program addresses regulatory frameworks, infrastructure requirements, testing protocols, cybersecurity standards, and public acceptance—all critical elements for successful autonomous vehicle deployment. The project's strategic designation reflects the Polish government's recognition of autonomous vehicles as a transformative technology with significant economic and industrial implications.
Polish engineers are making significant contributions to global autonomous vehicle development. Notably, Polish engineers are playing substantial roles in the development of Waymo robotaxis, which are set to navigate American and Asian roads. This international collaboration demonstrates the high caliber of Polish engineering talent and the country's integration into global automotive technology development networks.
Polish automotive manufacturers are rapidly adopting Industry 4.0 technologies to enhance productivity, quality, and flexibility. Major automotive facilities operate state-of-the-art production lines incorporating robotics, artificial intelligence-driven quality control, Internet of Things (IoT) sensors for predictive maintenance, and advanced data analytics for continuous process optimization.
The adoption of these technologies is driven by both competitive necessity and strategic opportunity. As labor costs gradually rise and the complexity of automotive products increases—particularly with electrification and digitalization—Polish manufacturers recognize that maintaining global competitiveness requires world-class automation and digital manufacturing capabilities. Government support programs and EU funding mechanisms provide additional incentives for technology adoption, with numerous Polish automotive companies accessing grants and financing for Industry 4.0 implementations.
Poland hosts production facilities for several major global automotive OEMs, each contributing to the country's automotive manufacturing capacity and export performance. The OEM landscape in Poland is diverse, spanning passenger cars, commercial vehicles, buses, and specialized vehicles.
| OEM | Brands/Products | Polish Facilities | Key Production |
|---|---|---|---|
| Stellantis | Fiat, Opel, Jeep, Alfa Romeo | Multiple facilities (Gliwice, Tychy, Bielsko-Biała) | Passenger cars, vans (undergoing 2024-2025 restructuring) |
| Volkswagen Group | Volkswagen Commercial Vehicles, engines | Września, Polkowice | Commercial vehicles, engines, transmissions |
| Toyota | Toyota passenger cars, engines | Wałbrzych, Jelcz-Laskowice | Engines, transmissions, hybrid components |
| MAN | MAN trucks | Niepołomice | Medium and heavy trucks |
| Volvo Group | Volvo trucks | Wrocław | Truck assembly and components |
| Scania | Scania trucks | Słupsk | Truck cabs and assembly |
| Solaris Bus & Coach | Electric and conventional buses | Bolechowo-Osiedle | City buses, electric buses, trolleybuses |
Poland's automotive success is built not only on OEM assembly operations but also on a sophisticated and extensive supplier network comprising over 500 automotive companies. Major Tier-1 suppliers operating in Poland include global leaders such as Bosch, Continental, Aptiv, Lear Corporation, Faurecia, Valeo, Magna, and ZF, among many others. These companies supply critical components and systems to automotive OEMs globally, with Polish facilities often serving as regional or global production hubs for specific component lines.
The supplier network benefits from Poland's competitive cost structure, skilled technical workforce, proximity to major European automotive markets, and well-developed logistics infrastructure. Many Tier-1 suppliers have established multiple facilities in Poland, clustering in automotive regions such as Silesia, Greater Poland, and Lower Silesia to create specialized industrial ecosystems with deep supplier networks and shared talent pools.
Poland maintains a significant cost advantage compared to Western European automotive manufacturing centers, with total manufacturing costs estimated to be 30-50% lower than in Germany, France, or the United Kingdom. This cost advantage stems primarily from competitive labor costs, though the gap has gradually narrowed as Polish wages have risen with economic development and tightening labor markets.
Critically, Poland's cost advantage is not simply a matter of low wages. Polish automotive workers are highly skilled, well-trained, and often exceed Western European productivity benchmarks. This combination of competitive costs and high productivity creates exceptional value for automotive companies, making Poland one of the most attractive locations for automotive manufacturing investment in Europe.
Poland's geographic position at the heart of Europe provides unparalleled access to major automotive markets. The country serves as a natural bridge between Western and Eastern Europe, offering efficient transportation connections to Germany (Europe's largest automotive market), France, Italy, the UK, and rapidly growing Central and Eastern European markets.
This strategic advantage is reinforced by world-class transportation infrastructure. Poland operates the 5th-longest highway network in the European Union, with over 5,205 kilometers of motorways and expressways connecting major industrial regions to ports, border crossings, and European transportation corridors. The country's rail network, modernized port facilities in Gdańsk, Gdynia, and Szczecin, and international airports with cargo capabilities create a multimodal logistics ecosystem that facilitates efficient, cost-effective distribution of automotive products across Europe and globally.
Poland's automotive competitiveness is ultimately built on human capital—a large, skilled, and technically educated workforce. The country's talent pool includes over 1.5 million university students, with more than 230,000 studying in engineering and technical fields. This continuous supply of engineering talent ensures that Polish automotive companies have access to the skills needed for increasingly sophisticated automotive technologies, from electric powertrains to autonomous driving systems.
Polish technical universities maintain strong collaborations with automotive companies, offering dual-education programs, industry-sponsored research, and internship opportunities that ensure graduates are well-prepared for careers in the automotive sector. Major automotive regions have established specialized automotive engineering programs and technical training centers that provide targeted skills development aligned with industry needs.
The 2024 decline in passenger car production represents a transitional challenge rather than a structural weakness. The primary driver was restructuring at Stellantis facilities, which implemented temporary production pauses and capacity adjustments in response to weak European demand for traditional internal combustion engine vehicles and the need to reallocate production capacity toward electric vehicles.
These production adjustments are part of a broader European automotive industry transformation. Many European automotive manufacturers are grappling with overcapacity in traditional vehicle segments, rising production costs, increasing regulatory pressures (including Euro 7 emissions standards), and the massive capital investments required for electrification. Stellantis's actions in Poland mirror similar capacity adjustments at plants across Europe, including temporary closures at facilities in Germany, Italy, and France.
While passenger car production faced headwinds in 2024, several positive trends demonstrate the resilience and adaptability of Poland's automotive sector:
Poland's battery manufacturing leadership represents the single most important growth opportunity for the automotive sector over the next decade. With current capacity at 86 GWh expanding to 122 GWh by 2027, and supplying 60% of Europe's EV battery exports, Poland is positioned as the indispensable hub of Europe's electromobility transformation. As European automotive OEMs accelerate EV production to meet regulatory requirements and consumer demand, Poland's battery production will become even more strategically critical.
The battery sector's growth trajectory is supported by massive ongoing investments ($1.25B Ascend Elements, €852M EU Innovation Fund, Lyten Northvolt acquisition), favorable government policies, access to critical raw materials (copper), competitive energy costs relative to Western Europe, and proximity to major automotive manufacturing centers. Industry projections suggest Poland could achieve 150-200 GWh of battery production capacity by 2030, cementing its position as Europe's battery manufacturing leader.
The passenger car production decline in 2024 is expected to reverse as Stellantis completes its restructuring and begins ramping up electric vehicle production at Polish facilities. Several Polish Stellantis plants are planned for conversion to EV production, with investments in new production lines, battery assembly capabilities, and workforce training for electric powertrain manufacturing.
Poland's competitive advantages—cost competitiveness, skilled workforce, proximity to European markets, and world-leading battery production—position the country to capture a significant share of European EV assembly as production volumes scale up through the late 2020s. Industry analysts project that Polish vehicle production could recover to 650,000-750,000 units annually by 2027-2028, with electric vehicles representing an increasing share of production mix.
ORLEN's PLN 1.7 billion+ investment in Green H2 and Hydrogen Eagle programs positions Poland to become a leader in hydrogen technology for transportation and industrial applications. As hydrogen fuel cell technology matures and costs decline, Poland's early investments will provide first-mover advantages in hydrogen vehicle production, refueling infrastructure, and hydrogen technology exports.
Hydrogen technology is particularly promising for heavy-duty vehicles—trucks, buses, and commercial vehicles—where Poland has strong existing manufacturing capabilities. The combination of hydrogen production expertise, commercial vehicle manufacturing strength, and supportive government policies creates a compelling opportunity for Poland to capture leadership in the hydrogen commercial vehicle segment.
Poland offers numerous attractive investment opportunities for international automotive companies, technology providers, and financial investors:
Poland's automotive sector has established itself as a European leader in battery manufacturing, a global top-10 automotive component exporter, and a strategic hub for automotive innovation and production. With 197,000 direct employees, €111.6 billion in total sector revenues, and world-leading battery production capacity (86 GWh current, 122 GWh by 2027), Poland is at the forefront of the automotive industry's transformation toward electromobility, autonomous vehicles, and sustainable transportation.
The sector's 2024 challenges—primarily passenger car production declines due to Stellantis restructuring—reflect transitional adjustments rather than structural weaknesses. Strong performance in commercial vehicles (+13.8% YoY), battery manufacturing (massive capacity expansions and investments), EV adoption (+51% YoY registrations), and component exports (+3.9% YoY) demonstrate the fundamental strength and resilience of Poland's automotive ecosystem.
Looking forward, Poland is uniquely positioned to capitalize on the automotive industry's mega-trends: electrification, autonomous driving, connectivity, and shared mobility. The combination of battery manufacturing leadership, strategic raw material access (copper), competitive manufacturing costs, highly skilled workforce, strategic European location, and supportive government policies creates a compelling value proposition for automotive OEMs, technology companies, and investors seeking to participate in the automotive transformation.
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This report is based on data from authoritative government, industry, and international sources. All statistics and projections are derived from the following verified sources: