To reduce the environmental impact of battery manufacturing for future vehicles, Volvo is working with Northvolt to develop more sustainable batteries. As a first step, the two companies will open a research and development center in Sweden next year.
Setting up this new center will allow both brands to produce next-gen, state-of-the-art battery cells and vehicle integration technologies tailored to Volvo and Polestar vehicles. As part of the collaboration, a new gigafactory will also be set up in Europe with a potential capacity of up to 50 gigawatt-hours (GWh) per year.
This gigafactory will be fueled entirely by renewable energy and is expected to begin production in 2026. The location for the new factory has not been chosen yet, but what has been established is that the first vehicle to incorporate battery cells produced and developed through the joint venture will be the electric successor to Volvo’s XC60 model.
In addition to the new plant, starting with 2024, Volvo also intends to source 15 GWh of battery cells per year from the current Northvolt Ett battery factory in Skellefte, Sweden.
Through this partnership with Northvolt, Volvo is seeking to speed up its electrification plans. By the middle of this decade, the automaker hopes to sell 50 percent pure electric vehicles, with the ultimate objective of being an all-electric car brand by 2030.
Further information about its future technological plan will be revealed at the Volvo Cars Tech Moment, which will be held on June 30th.
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