Chinese battery manufacturer SVOLT Energy Technology Co plans to establish as many as five factories across Europe, according to a Bloomberg News report. The company is said to be exploring locations in eastern, northern, and western Europe, with one major site potentially having a 20-gigawatt capacity.
SVOLT Europe head Kai-Uwe Wollenhaupt disclosed in an interview with Bloomberg that the company aims to achieve a production capacity of at least 50 gigawatt-hours in Europe by the end of the decade. In September 2021, SVOLT revealed its intentions to construct an additional cell assembly in Germany to cater to the electric vehicle market. The chosen location was the state of Brandenburg, which also houses Tesla Inc's gigafactory.
Additionally, SVOLT plans to build a plant in Saarland and is reportedly in discussions with several European automakers regarding battery cell supply agreements.
Asian companies, particularly those from China, have a significant presence in Europe's battery production sector. Data indicates that by 2030, approximately 44% of Europe's planned battery capacity will come from Asian companies, with Chinese battery titan CATL leading the pack.
SVOLT did not immediately respond to a request for comment from Reuters.
As the demand for electric vehicles continues to grow, battery manufacturers like SVOLT are seizing the opportunity to expand their global presence and production capacity. Establishing multiple factories across Europe positions the company to better serve the region's growing electric vehicle market and capitalize on the shift toward greener transportation.
With planned battery capacity expected to come predominantly from Asian companies, Europe may see increased competition in the battery production market. This could potentially lead to technological advancements, lower prices, and improved efficiency in battery manufacturing, benefiting both automakers and consumers alike.
