The Limited Times

Now you can see non-English news...

VW is building battery cell plant in Canada – a European decision is still pending

2023-03-14T09:24:21.493Z


Battery cells from our own production for electric vehicles are a central topic in the automotive industry. After the recent decision to set up a plant in Spain, VW is following suit - this time outside of Europe.


Battery cells from our own production for electric vehicles are a central topic in the automotive industry.

After the recent decision to set up a plant in Spain, VW is following suit - this time outside of Europe.

Salzgitter – The VW Group is building its next plant to manufacture its own battery cells for electric cars in Canada.

The first such factory of the internal Powerco division outside of Europe is planned in St. Thomas in the province of Ontario, the company announced on Monday.

“This is a big step for Volkswagen.

Congratulations to Canada,” said VW Chief Technology Officer Thomas Schmall in Salzgitter.

There, the company presented the status of its plans. VW, on the other hand, wants to take its time with the decision on the location of the fourth European cell factory after northern Sweden, Salzgitter and Valencia in Spain.

VW accelerates North America strategy

The start of production in St. Thomas - located about halfway between the Canadian metropolis of Toronto and the US car city of Detroit - is scheduled for 2027.

Volkswagen recently announced plans to build a plant for its new Scout pick-up brand in the US state of South Carolina.

"With the decisions for cell production in Canada and for the Scout location, we are accelerating the implementation of our North America strategy," said CEO Oliver Blume.

In Europe, VW is initially planning six factories for its own battery cells for electric vehicles, also in order to become less dependent on Asian suppliers.

Half of them have already been specifically decided.

"Our three plants in Europe are now set until 2028," said Schmall.

However, the lead-up for new locations takes years.

In addition, some economic conditions are uncertain.

"Why should we rush now to decide on the next (factory) in the environment that we have now?

It doesn't make sense to come to a quick decision."

Eastern European countries and German communities are vying for the next VW plant

From 2025 at the earliest, details on the next European location can be expected.

Among other things, Eastern European countries, but also other possible candidates in East Frisia or in Saxony, are hoping for the bid.

During a visit by Federal Chancellor Olaf Scholz to Canada, the country came up for discussion for North America because VW also wants to participate in projects there to mine battery raw materials.

Initially, Schmall reported on Monday that preparations for a cell plant were "finalizing the settlement decision".

By 2030, the demand for electrical energy for battery cells in electric cars in North America is estimated at 60 to 100 gigawatt hours.

In Mexico, the largest European car group also has plans.

The plants in Puebla and Silao are to be expanded in order to assemble electric cars and "possibly also components such as electric motors" in the second half of the decade.

The ID.4 will soon also be manufactured at the US vehicle plant in Chattanooga (Tennessee).

(

dpa, lf

)

Source: merkur

All news articles on 2023-03-14

You may like

Trends 24h

News/Politics 2024-04-18T11:17:37.535Z
News/Politics 2024-04-18T20:25:41.926Z

Latest

© Communities 2019 - Privacy

The information on this site is from external sources that are not under our control.
The inclusion of any links does not necessarily imply a recommendation or endorse the views expressed within them.