One million batteries per year
Germany begins construction of the country’s largest factory for making batteries for electric cars. It should be operational by 2026 and supply one million batteries annually.
The project will cost €4.5 billion and is led by Sweden’s Northvolt, the only major company in Europe specializing in the construction and development of batteries for electric cars. The factory should create approximately 3,000 jobs and ultimately be good for battery production of 60 GWh per year. The factory is being built near Heide, a city with more than 22,000 inhabitants in the north of Germany in the state of Schleswig-Holstein. “The factory will soon give a boost to Schleswig-Holstein, especially on the west coast,” says the state’s economy minister Claus Ruhe. The region must become the hub for the energy transition, partly due to the green energy that is already generated by wind turbines.
The fact that the factory will be located in Germany is partly due to the €900 million subsidy from the German government that enticed Northvolt not to go to the United States with the project. Chancellor Olaf Scholz says the factory will contribute to Germany’s manufacturing base. The EU and the US compete fiercely when it comes to attracting investments in electric cars. For example, last year the EU relaxed the rules for countries regarding subsidies to counterbalance the Americans.
– Thanks for information from Autoweek.nl