Northvolt closes the main factory in Schelifteo: the collapse of the European dream of batteries

Swedish company Northvoltwhich was supposed to become a European competitor of Chinese batteries, announced the closure of its flagship plant in Shellefteo.

Production will completely stop no later June 30, 2025that puts an cross on ambitions to create a powerful player in the battery market for electric vehicles in Europe.

The only remaining client of the plant was the company Scaniain the group Volkswagen. However, Scania refused to cooperate with Northvolt, by going to the supply of batteries from the Chinese giant CATL. Thus, Northvolt did not have customers left, which made the further work of the plant unprofitable.

Earlier, the enterprise has already encountered serious difficulties: hundreds of employees were dismissed, and the factory remained around 900 people. However, even these measures did not save production, and there are no prospects for the resumption of work. Plant in Polish Gdansk He was sold, and interest in other divisions of the company has not yet led to specific transactions.

At the same time, Northvolt claims that the construction of a new plant in the German city Hayde (Earth Schleswig-Holstein) continues, despite the collapse of the Swedish enterprise. Project worth 4.5 billion euros was solemnly launched in March 2024 with the participation of a former chancellor Olaf Sholtsa and ex-minister of economics Robert Habek. Northvolt received significant state subsidies, including a loan for 600 million euros. Then Habek called the project “Future of Europe”emphasizing its strategic significance.

Closing the plant in Shellefteo It was another blow to Europe plans to reduce dependence on Asian batteries, such as CATL And Byd. Northvolt, founded in 2016, was originally considered a key player in the development of European Green industryBut financial problems, production malfunctions and inability to compete with Chinese companies led to its collapse.

This is not just a local failure, but symptom of deeper problems in the European economy and politics. Europe needs to urgently revise the approach to supporting strategic industries, otherwise it will continue to concede China, putting its goals in the field of green energy and technological independence. In the meantime, Chinese companies, such as CATL, strengthen their leadership, leaving European projects, like NorthVolt, in the past.

However, with those who rules the European Union now, the block should not wait for anything good …

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