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Volkswagen Group is looking to Canada to build a battery factory

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An ambitious plan Electrification of the Volkswagen Group provides Construction of several battery factories 6 of which are in Europe alone. Above all, there is a huge need to speed up the production of electric cars Supply of batteries. The German group wants to build factories for the production of batteries outside Europe.

The first of these plants should rise In Canada and will be used to supply accumulators to the German group’s factories in North America.

Agreement with Canadian Government

The search for a suitable location for the factory has already begun. In fact, an agreement has been signed between Volkswagen Group and the Canadian government to identify potential sites for such a factory. But the collaboration between the German group and the Canadian government goes further. In fact, it works in other fields like parties In raw material supply chains Essential for the production of battery cells. The new factory will be managed by Powerco, a battery company The Volkswagen Group was founded in July 2022.

to Oliver Bloom, CEO of Volkswagen Group, Canada was chosen for a variety of reasons. In fact, the country, according to the CEO, “It offers high standards of sustainability and excellent economic conditions and the Canadian government has already proven to be a strong and reliable partner“.

More information will be shared once the right location to build this battery cell factory is identified. Canada is becoming increasingly important to the battery market. Many car manufacturers are keenly eyeing the country’s deposits of raw materials needed to manufacture cells. We cannot forget that either LG Energy Solutions and Stellandis will build a factory For cells in Canada.

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Powerco made the news not over New contract with Umicore. “The goal is to expand the existing cooperation.Development of regional supply chains related to sustainable battery productsThe German group aims to confirm Required cathode materials For future cell production in North America.

We recall that these two companies already announced last September that they will establish a joint venture that will supply basic materials for the production of battery cells at the German group’s European plants from 2025. Therefore, the new agreement will be the basis. The factory of the future in Canada. Supply of cathode materials and related precursors is equally expected Scale up to 40 GWh per year in 2030. Deliveries are expected to begin in 2027. Umicore plans to start construction in 2023 on a plant for large-scale industrial production of cathode and precursor materials in Canada.

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