Friday, November 22, 2024

Expansion scaled back at electric car battery champion after mystery deaths

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The site in Skellefteå, which Northvolt brands as Europe’s first homegrown battery factory, is located near the Arctic Circle near the border with Finland.  

The company is seeking to sell lithium-ion batteries powered by renewable energy from a hydroelectric plant that it promises will have a 90pc lower carbon footprint than competitors. 

It will also recycle nearly all components made from rare materials such as nickel and manganese.

The batteries would provide an alternative to imports from China, which can come with questionable green credentials and political risk.

However, the start-up’s complications with expanding its production has led to delays in orders for some of its largest customers. 

Northvolt has received orders from manufacturing giants like Volkswagen, Siemens and Scania for $50bn (£40bn).

However delays have also forced Scania to slow the rollout of its electric HGVs.

Northvolt had planned to create thousands of jobs through new battery factories in Germany and Canada.

But these plans could now be pushed back as Mr Carlsson tries to steady the ship. 

The company has also put plans for an initial public offering on hold amid its difficulties to grow its production and the challenging market for listings.

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