Volvo and Northvolt to create new battery plant in Gothenburg
Volvo Cars and Northvolt have selected Gothenburg as the location fo a new 50 GWh battery manufacturing plant which will commence operations in 2025.
The new battery manufacturing plant – which will commence operations in 2025 – is expected to create up to 3,000 jobs and complement the planned R&D centre that the companies announced in December as part of an investment of approximately SEK 30 billion.
The new plant and close partnership with Northvolt will significantly strengthen Volvo Cars’ electrification strategy as it aims to produce and sell only fully electric cars by 2030.
Construction of the plant will start in 2023 and it will produce battery cells, specifically developed for use in next-generation pure electric Volvo and Polestar cars.
The plant will have a potential annual cell production capacity of up to 50 GWh, which would supply batteries for approximately half a million cars per year.
The Swedish location of the plant, which will be built in Torslanda, Gothenburg is close to Volvo Cars’ largest car plant and provides access to relevant job competences – as well as its proximity to both Volvo Cars’ and Northvolt’s R&D units.
The battery cell production JV between the companies aims to be a significant player in European battery cell production and will represent one of the largest cell production units in Europe. Volvo Cars and Northvolt have appointed former Tesla executive Adrian Clarke to lead the production company.
The R&D centre, which will become operational in 2022, will create a few hundred jobs in Gothenburg and positions Volvo Cars.