Volvo Cars and Northvolt will open a new battery plant in the Swedish city of Gothenburg. They will produce batteries specifically for the next generation of Volvo and Polestar electric vehicles.
The construction of the plant will begin in 2023, and it will produce the first batteries in 2025. The plant is expected to supply batteries for approximately half a million vehicles per year and has a potential annual cell production capacity of up to 50 GWh.
Located in Gothenburg will provide quick access to Volvo Cars’ largest automotive plant and renewable energy supply networks. The enterprise will employ up to 3,000 people.
Northvolt and Volvo Cars plan to make their joint plant one of the largest battery manufacturing facilities in Europe. Adrian Clark, a former Tesla chief executive, has been appointed head of manufacturing company Volvo Cars and Northvolt. By the way, Tesla’s first “Gigafactory” in the US state of Nevada has a similar design capacity.
The construction of the battery plant will be preceded by the opening of a research center. Its opening is scheduled for 2022.
Volvo’s electrification plan calls for a full transition to electric vehicles by 2030. The transformation is divided into several stages, so by 2025 the share of battery cars in the total output should reach 50% and increase from year to year. So far, the group of companies has introduced three production electric cars: Volvo XC40 Recharge, Volvo C40 Recharge and Polestar 2.