The Volvo Group intends to build a battery cell factory in Sweden
The Volvo Group announced this month that it intends to establish a large-scale production facility for battery cells in Sweden.
The group, which is separate from Volvo Cars, is engaged in commercial vehicle applications, including trucks (Volvo Trucks), buses (Volvo Buses), construction machinery (Volvo Construction Equipment) and electric powertrains (Volvo Penta).
The company currently manufactures electric vehicles with battery cells and modules from Samsung SDI. The new battery facility will be built with undisclosed partners, so at this point we’re not sure who will provide the cell technology or even what the target chemistry is.
What we do know is that the Volvo Group, after conducting an extensive siting study, is interested in the Skaraborg region in Sweden, which is considered an ideal location for the facility.
“The proposed site in Mariestad municipality is 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 competence in advanced, high-volume manufacturing, while having access to Sweden’s rich supply of fossil-free energy. The Volvo Group’s R&D center and headquarters in Gothenburg are only two hours away.”
The Volvo Group notes the growing demand for battery-electric heavy vehicles and machinery, which requires preparations for the future. The company has already set a goal of achieving at least a 35% share of electrical products in its annual sales by 2030.
There are two main topics on the table – securing a large volume (although not that large, compared to the EV segment), and getting access to cells designed specifically for commercial vehicle applications to maximize performance.
Later this year, Volvo Trucks will start serial production of three new electric car models in Europe: FH Electric, Volvo FM Electric and Volvo FMX Electric.
Battery packs for these vehicles will be manufactured at a new battery assembly plant in Ghent, Belgium, using battery cells and modules from Samsung SDI, starting in the third quarter.
A single battery pack has a capacity of 90 kWh and depending on the vehicle configuration, up to six battery packs can be installed for a total battery system capacity of up to 540 kWh. Models equipped with 540 kWh batteries are expected to have a range of more than 300 km (186 miles).