Volvo Cars and Northvolt will build a new 50GWh battery manufacturing plant in Gothenburg, Sweden with an investment of around SEK 30 billion ($3.28 billion) while offering up to 3,000 new jobs.

To begin operations in 2025, the Swedish battery manufacturing project will also have a research and development center. The latter will begin operations this year.

Construction of the battery manufacturing plant in Gothenburg will begin next year. It will manufacture battery cells, developed specifically for pure electric Volvo and Polestar cars.

Peter Carlsson — Co-Founder and CEO of Northvolt said: “Establishing this gigafactory in Gothenburg is a decisive move, both to continue to transform one of the most dynamic automotive regions in the world, and to become the leading global supplier of sustainable batteries.”

Volvo Cars said that the new Gothenburg battery manufacturing facility along with its partnership with Northvolt will considerably bolster its electrification strategy under which it aims to produce and sell only fully electric cars by the end of this decade.

Håkan Samuelsson — Volvo Cars chief executive, commenting on the battery manufacturing plant in Gothenburg, said: “Our battery cell partnership with Northvolt is key to our strategic ambitions in electrification.

“We are committed to becoming a leader in the premium electric car segment and selling only pure electric vehicles by 2030.”

In late 2021, Northvolt said that it will invest $750 million for expanding its existing Northvolt Labs in Västerås, Sweden.

  electric cars, Electric Vehicle, electric vehicles, EV batteries, Gothenburg, Håkan Samuelsson, Northvolt, Northvolt Labs, Peter Carlsson, Polestar, Sweden, Västerås, Volvo Cars