Novo Energy, a joint venture of Volvo Cars and Northvolt, has begun construction of a Li-on battery gigafactory in Gothenburg, Sweden, near Volvo’s existing Torslanda factory. Once complete, the battery plant will have over 3,000 employees, and a potential annual cell production capacity of up to 50 GWh—enough for around half a million EVs.

The first phase of the facility will be a 130,000-square-meter building. This will include the first production line, which is expected to be operational in late 2026.

The city of Gothenburg, along with regional government and business groups, already have several projects underway to support the new plant. Göteborg Energi and Vattenfall are building a power station to connect the gigafactory to the regional grid’s 130 kV power line. Preparatory work is also underway to connect the site to district heating, water, stormwater and wastewater systems. Purified wastewater will be used to cool the plant.

The city of Gothenburg will establish a training center at Lindholmen, where employees and students will be trained in electromobility and battery manufacturing. The new training center is expected to open in autumn 2024.

“The know-how and innovation that exists here in Gothenburg is fantastic. We have been able to grow to 200 people in a short time, but we need to continue to grow rapidly, and scale up as our entire industry grows,” says Adrian Clarke, CEO of Novo Energy. “We appreciate the investments being made in education, training and housing.”

“Together with the company, we’ve visited Skellefteå [in northern Sweden] and learnt from Northvolt, the authorities and other actors, drawing on experiences from the establishment of their gigafactory up there,” says Björn Gustafsson, the City’s coordinator for the Gothenburg gigafactory investment. 

Source: Volvo Cars