Northvolt plans Europe’s answer to the Gigafactory

LinkedIn
Twitter
Reddit
Facebook
Email
An Early sketch of how the Northvolt mega factory could look from Sweco Sweden. Credit; Twitter: Northvolt/Sweco Sweden
An Early sketch of how the Northvolt mega factory could look from Sweco Sweden. Credit; Twitter: Northvolt/Sweco Sweden

Swedish start-up Northvolt, which is run by two former Tesla Motors executives, plans to build a huge lithium-ion battery factory in the Nordic region, giving Tesla and Panasonic’s Nevada Gigafactory a close rival within Europe in terms of size.

The Stockholm-based company’s website reveals plans for what will be Europe’s largest battery factory, standing at more than 32GWh divided into four blocks of 8GWh capacity and needing more than €4 billion investment.

The site will require 500,000m2 of land – roughly equivalent to nine football pitches – but the firm is still looking for a suitable location with hopes for making a decision by the middle of the year. Northvolt claims the project will provide an opportunity to create an “industry cluster” for experts in energy storage and batteries.

The Nordic region has been chosen for its access to clean water and energy, stable grids and educated workforce. Perhaps more importantly, the area also holds some of the critical minerals needed for the battery technology.

This article requires Premium SubscriptionBasic (FREE) Subscription

Enjoy 12 months of exclusive analysis

Not ready to commit yet?
  • Regular insight and analysis of the industry’s biggest developments
  • In-depth interviews with the industry’s leading figures
  • Annual digital subscription to the PV Tech Power journal
  • Discounts on Solar Media’s portfolio of events, in-person and virtual

Or continue reading this article for free

Northvolt was founded by CEO Peter Carlsson, COO Paolo Cerruti, Carl-Erik Lagercrantz and Harald Mix. Both Carlsson and Cerruti previously served more than four years at Tesla Motors in executive positions, with roles in the supply chain at various points.

With cost still a major barrier to wider energy storage uptake, Northvolt plans to benefit from economies of scale and believes that the world has room and potential demand for another 100 to 150 factories of a similar scale.

It stated: “Until now cost has been too high for widespread adoption. We are now able to bring costs down.”

The batteries produced will be used in electric vehicles (EVs), although Northvolt’s website touts the uses of energy stroage in white goods and for integrating renewables to the grid. The firm is currently offering supply options to customers requiring more than 250MWh per annum.

Northvolt has received external funding the Swedish Energy Agency (Energimyndigheten), Vinnova, Innoenergy, Vattenfall and Stena.

Sending out an optimistic message to industry, the company website stated: “There are strong indications that when the cost of lithium-ion batteries drops below US$100/kWh, a number of user-sectors will reach an inflection point where traditional technology is no longer cheaper.”

In other news, the largest battery ever developed within the Nordic countries was recently commissioned at Fortum’s Järvenpää power plant in Finland.

Read Next

October 8, 2025
Repurposing EV battery packs and modules into BESS obviously has environmental benefits, but challenges around pricing, performance and safety remain, panellists at an industry event in London said last week.
Premium
October 7, 2025
Energy-Storage.news Premium hears from a representative from Honeywell and Alejandro Schnakofsky, CTO of Prevalon, on fire safety in the battery energy storage system (BESS) industry.
October 6, 2025
Nightpeak Energy has announced commercial operations of its 150MW/300MWh Bocanova Power battery energy storage system (BESS) in Brazoria County, Texas, US.
September 26, 2025
Investment and IPP news from across Europe, with DTEK buying a BESS project in Poland, Ingrid inaugurating one in Sweden and Triodos investing in a German portfolio.
September 25, 2025
Italian multinational energy company Eni intends to become a player in battery cell manufacturing for stationary energy storage systems.

Most Popular

Email Newsletter