Battery Manufacturer Northvolt to Build Large Factory Together With Volvo
Swedish battery manufacturer Northvolt has entered into a partnership with car manufacturer Volvo. The two will build a huge factory in Europe where batteries will be built for use in Volvo’s vehicles.
Production should start in five years. Volvo wants to market only electrically powered cars from 2030.
The factory would have a maximum annual capacity of 50-gigawatt hours. This would allow Volvo to build 800,000 cars per year. In addition to the joint factory, Volvo and Northvolt will also set up a joint research centre in Sweden. From 2024, Volvo will also purchase 15-gigawatt hours of batteries annually that Northvolt produces in a Swedish factory.
Batteries for electric cars are an important investment target for European car manufacturers. According to a report from T&E earlier this month, there are plans for some 40 massive factories across Europe.
In addition to a partnership with Volvo, Northvolt has already concluded deals with other car and truck manufacturers. Volkswagen, BMW and Scania, among others, have already joined forces with the Swedes.