New gigafactory to create 3,000 jobs
Volvo and Northvolt have announced plans to create a joint venture to develop more sustainable car batteries.
The first step for the 50/50 joint venture will see the pair set up a research and development centre in Sweden that will begin operations in 2022. The centre is intended to build on the battery expertise within both companies and develop next-generation, state-of-the-art battery cells and vehicle integration technologies.
The planned joint venture will also establish a new gigafactory in Europe with a potential capacity of up to 50 gigawatt hours (GWh) per year. The location has not been announced, but the site will create 3,000 jobs and production is scheduled to start in 2026.
Håkan Samuelsson, chief executive at Volvo Car Group, said: “By working with Northvolt we will secure a supply of high-quality, more sustainable battery cells for our pure electric cars. Working closely with Northvolt will also allow us to strengthen our in-house development capabilities.”
