Swedish battery manufacturer Northvolt has announced a major strategic realignment. The move follows a stagnating market for electric vehicles in Europe and a slow ramp-up of battery production. As part of the realignment, Northvolt intends to focus on cell production as its core business. The Northvolt Drei gigafactory in Germany is not explicitly affected.
Changes in Sweden, Poland, USA
The company has announced a number of specific measures to implement the new strategy. Cathode material production at the Northvolt Ett plant in Skellefteå, Sweden, will be temporarily discontinued, while the plans for cell production at the site remain unchanged. In Borlänge, the Northvolt Fem program, which was originally planned as a new production site for cathode material, will also be discontinued. The site just acquired in 2022 is now to be sold. Europeʼs largest battery system factory, Northvolt Dwa in Gdansk, Poland, will remain part of the companyʼs strategy. However, Northvolt is actively looking for partners or investors to finance its operations there. Also, lithium metal research will be transferred from the United States to Northvolts main site in Sweden, and the Cuberg subsidiary will be closed. The developments will also lead to a reduction in headcount.
Plans for Germany remain
Despite the adjustments, the company will continue to focus on its NOVO project in Sweden as well as on Northvolt Drei in Germany and Northvolt Six in Canada. Northvolt claims to be in discussions with stakeholders to ensure progress at the sites and intends to announce possible schedule changes as well as additional cost reduction measures in the fall.
Sources:
https://northvolt.com/articles/northvolt-strategic-review/
https://www.handelsblatt.com/unternehmen/industrie/northvolt-batteriehersteller-will-standorte-verkaufen-und-belegschaft-reduzieren/100067555.html
