GOTHENBURG, Sweden—To meet the growing demand for battery electric heavy-duty vehicles and machines, the Volvo Group has initiated the process to establish a large-scale battery assembly plant in Sweden.
“We aim to lead the transition to a decarbonized transport system and have the long-term ambition to offer our customers solutions that are 100 percent fossil free,” says Martin Lundstedt, president and CEO of the Volvo Group. “There is a strong demand from our customers already today, and by 2030, it is our ambition that at least 35 percent of the products we sell are electric. This ramp-up will require large volumes of high-performing batteries, produced using fossil-free energy, and it is a logical next step for us to include battery production in our future industrial footprint.”
The company is evaluating Mariestad, Sweden, as a site for the factory. Mariestad is located near Volvo Group’s current powertrain assembly plant in Skövde, Sweden. The Volvo Group’s R&D centers and headquarters in Gothenburg are only two hours away.
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, supporting the global roll-out of electric trucks, buses, construction equipment and electric drivelines for different applications.Establishment of the production site is subject to approvals from authorities. The final location will be determined after the public consultation has been conducted and operations are subject to environmental permit approvals.