The German car manufacturer selects Northvolt as its lead supplier for premium batteries with an order worth more than $14 billion over the next 10 years. Northvolt’s gigafactory in Sweden will be expanded to support the order.
The deal marks the next stage in the partnership between the two companies, as Northvolt announced that it has also sold its share of the pair’s joint venture to Volkswagen.
Thomas Schmall, head of Volkswagen’s components division, said “Volkswagen will continue to deepen the collaboration and partnership with Northvolt,” adding that: “They are one of our key battery suppliers as we make the transition to electric mobility – and there is potential to expand this partnership even further.”
Northvolt said in a statement that it has now secured in excess of $27 billion worth of contracts from key customers.