The Volkswagen Group and its recently founded battery company PowerCo SE intend to rapidly expand their global battery business to North America. To that end, Volkswagen and the Canadian government have signed a Memorandum of Understanding to identify suitable sites for a battery cell factory in Canada.
The two parties will continue their cooperation in the areas of battery value creation, raw material supply chains and cathode material production, which were initiated earlier in 2022. PowerCo and materials technology group Umicore have also agreed to investigate a strategic supply agreement on cathode material for North America, which would build upon their standing joint venture for precursor and cathode material production in Europe.
“Battery technology is key for our strategy, which is why we are forging ahead with the expansion of the battery business at full speed,” said Oliver Blume, Volkswagen CEO. “Canada is one logical option for the construction of a gigafactory in North America. The country offers high sustainability standards and ideal economic conditions, and the government of Canada has already proven to be a strong and reliable partner. This is just the beginning: The EV market in North America is at a turning point and we’re committed to investing across the entire region.
Source: Volkswagen
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