China’s battery maker Svolt Energy Technology (SVOLT) has announced its decision to invest 2 billion euros to build a 24 GWh battery cell factory in Germany, the company’s first factory in Europe.
SVOLT, which makes lithium-ion batteries and battery systems for electric vehicles and energy storage systems confirmed on Tuesday, November 17, that a module and pack factory in addition to a state-of-the-art cell factory with 24 GWh production capacity will be built at two separate locations in Germany, where SVOLT will be developing battery cells and modules and high-voltage storage systems (packs).
“We have selected Saarland, Germany as our first European production site for SVOLT’s high-end products for a number of reasons: It is not only at the heart of Europe, but also represents a region of innovation and technology for the automotive industry,” said Hongxin Yang, President & General Manager SVOLT Energy Technology.
“We are convinced that the start of the partnership with Saarland will be an important step in the development of a new, alternative and sustainable energy industry and that together we will therefore make a significant contribution to the future,” he added.
The announcement was made yesterday by President & General Manager Hongxin Yang, Kai-Uwe Wollenhaupt and Maxim Hantsch-Kramskoj of SVOLT in the presence of Tobias Hans, Prime Minister of Saarland, Anke Rehlinger, Minister for Economic Affairs and Deputy Prime Minister of Saarland, and Thomas Schuck, Managing Director of Saarland Economic Promotion Corporation and SHS Strukturholding Saar GmbH.
“The car is one of the central pillars of Saarland as an industrial location,” said Tobias Hans, Prime Minister of Saarland.
PM Hans noted that the state would like to be at the forefront of the structural change in the automotive industry and develop the federal state into a cluster for innovation in Europe, especially for the automotive industry.
“We have a decisive advantage in terms of location: expertise and infrastructure. For us, it is about playing a leading role in the development of environmentally-friendly vehicles of the future,” he added.
The battery cell production is planned to start at the end of 2023 and will be established near the Saarland town of Überherrn. In its final expansion stage, it will achieve a production capacity of 24 GWh, which corresponds to batteries for 300,000 to 500,000 electric cars per year.
The module and pack factory will be implemented on an already industrialized site at Heusweiler, which will be retrofitted for module and pack production. The production is expected to start as early as mid-2022.
The spin-off from Chinese car manufacturer Great Wall Motors, SVOLT plans to establish a 100GWh production capacity worldwide by 2025 with a total investment of 8 billion euros.In addition to the plant in Germany, the company has planned three plants in the Asian Pacific region with an installed total capacity of 76 GWh. SVOLT opened the first of the four planned cell factories in Jintan, China in November 2019. In addition, several module and pack plants are being created – depending on customer requirements.