Volvo Group will soon establish a battery production facility in Sweden
Highlights:
- An extensive site localization study has been carried out, which indicates that the Skaraborg region in Sweden is an ideal location for the facility.
- The Volvo Group plans to gradually increase capacity and reach large-scale series production by 2030.
The Volvo Group has announced that it has begun the process to establish a large-scale production facility for battery cells in Sweden. This aims to meet the growing demand for battery electric heavy vehicles and machinery.
Martin Lundstedt, President and CEO of the Volvo Group, commented on the development, “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. 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.”
The CEO also said that the strong demand 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 the industrial footprint of the future. He said the Volvo Group aims to do this together with partners and the journey begins now.
Volvo said that an extensive siting study has been carried out, which suggests that the Skaraborg region in Sweden is an ideal location for the plant. The proposed site in Mariestad municipality is located close to the Volvo Group’s current main powertrain plant in Skövde and will benefit from the region’s existing industrial and logistics infrastructure and build on a strong heritage and world-class expertise in advanced, high-volume manufacturing. , while having access to Sweden’s rich supply of fossil-free energy.
The Volvo Group plans to gradually increase capacity and reach large-scale series production by 2030. The battery cells will be designed specifically for commercial vehicle applications and support the global rollout of electric trucks, buses, construction equipment and electric powertrains for various applications.
Volvo said the establishment of the production facility is subject to regulatory approvals. The final location will be determined after the public consultation has been completed and the operation is subject to environmental permits.