Volvo Group establishes battery cell factory in Sweden
The Volvo Group will establish a large-scale production facility for battery cells in Sweden that will serve its heavy vehicles, trucks and machinery.
The truck manufacturer recently completed an extensive siting study and determined that the Skaraborg region will serve as the ideal location for the site. The Volvo Group says the proposed site will be in Mariestad municipality, near its main power plant in Skövde.
The Volvo Group says the battery cell facility will also benefit from the region’s existing industrial and logistics infrastructure, while having easy access to the country’s rich supply of fossil-free energy. In addition, the Volvo Group’s research and development center and headquarters in Gothenburg are only two hours away.
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“We strive to lead the transition to a carbon dioxide-free transport system and have the long-term ambition to offer our customers solutions that are 100% fossil-free,” says Volvo Group President and CEO Martin Lundstedt. “There is strong demand from our customers already today and by 2030 it is our ambition that at least 35% of the products we sell are electric. This rise will require large volumes of high-performance batteries, produced with fossil-free energy and it is a logical next step for us to include battery production in our future industrial footprint.”
Volvo says it will gradually increase capacity at the site and reach large-scale series production by 2030. The battery cells will be designed specifically for commercial vehicle applications and support its global rollout of electric trucks, buses, construction equipment and electric powertrains.
Local authorities still need to approve the proposed plans and the specific location will be determined following public consultation.
Volvo Trucks has expanded its range of electric vehicles in recent years, and as of 2021 fully electric versions of the entire range of heavy-duty models have been available.