Northvolt ab Hungary

What happened to Northvolt AB?

Swedish battery cell maker Northvolt AB, which produces battery cells for electric vehicles (EVs), has announced that it has filed for Chapter 11 bankruptcy in the US. This is being seen as a significant hit to the European domestic electric vehicle industry, as the company was the most developed battery manufacturer on the continent.

Where is Northvolt AB based?

The company’s flagship battery gigafactory, Northvolt Ett, is located in Skellefteå, Sweden. The move comes as the battery maker struggled to secure rescue funding, resulting in the company having only one week’s worth of cash remaining, which came up to about $30m (€28.81m). In contrast, Northvolt AB’s debt amounted to around $5.84bn (€5.61bn).

How will Europe respond to the Northvolt Saga?

People involved in the Northvolt saga said options were narrowing for Europe to address its dependence on China and other parts of Asia for the technology and materials that will be critical as the automotive industry transitions to electric vehicles.

Is Northvolt a hole in the EU's electric vehicle ambitions?

The collapse of Swedish battery maker Northvolt AB has left a hole in the EU's ambitions for electric vehicle success – but also a potential three-hundred-million-euro hole in its budget. The company filed for bankruptcy protection under the US Chapter 11 procedure last week, as it only had about $30 million (€28.81m) in cash remaining.

Is Northvolt AB a good battery manufacturer?

This is being seen as a significant hit to the European domestic electric vehicle industry, as the company was the most developed battery manufacturer on the continent. Northvolt AB produces lithium-ion, lithium-metal and sodium-ion cells for e-mobility and energy storage, amongst other purposes.

Will Northvolt reduce reliance on Chinese rivals?

Europe has been hoping that Northvolt would reduce Western car makers' reliance on Chinese rivals such as battery maker CATL (300750.SZ) and EV and battery maker BYD (002594.SZ). Northvolt said the $100 million in a new loan is part of $245 million in financing support for the bankruptcy.