Northvolt and Volvo Cars choose Gothenburg for new battery plant
Maryam FaragBusiness Operations Automotive Manufacturing Gothenburg lithium ion batteries manufacturer manufacturing Northvolt plant production Technology Volvo Cars
The City of Gothenburg has signed a letter of intent with Volvo Cars and Northvolt for the establishment of a new plant for the production of lithium-ion batteries, directly adjacent to Volvo’s existing Torslanda plant.
The battery factory will be operational by 2025, and will deliver batteries to half a million cars each year. The factory will employ up to 3,000 people within production, support and management. It will be the first production facility for the new joint venture, where Volvo Cars and Northvolt are investing SEK 30 billion.
“Establishing this gigafactory in Gothenburg is a decisive move, both to continue to transform one of the most dynamic automotive regions in the world, and to become the leading global supplier of sustainable batteries,” said Peter Carlsson, Co-Founder and CEO, Northvolt.
The first activity for the new jointly owned company will be a battery research and development centre, which will open during 2023. The R&D centre will be located in Gothenburg and will employ a few hundred people.
“We are very pleased to have reached this agreement, that Northvolt and Volvo Cars find our solutions attractive and choose to locate their future investments here. That so many green jobs are created is fantastic. Gothenburg is taking an even stronger global position in the climate transition and within sustainable mobility,” said Axel Josefson, Chair Executive Board, Gothenburg City.