Tuesday, July 16, 2024

Gotion High-tech’s First European Battery Plant in Germany Begins Production

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Gotion High-tech, the Chinese battery giant supported by Volkswagen, has started production at its German factory, marking a major step in its European expansion. The factory, acquired two years ago with Volkswagen’s backing, produced its first locally-made battery pack on September 16.

This achievement represents Gotion’s successful entry into localized production in Europe, branding its batteries as “Made in Germany.” The plant aims for a total capacity of 20 GWh, with four phases of completion, targeting an annual output worth 2 billion euros when fully operational, according to Steven Cai, Gotion’s CTO.

Already, the Göttingen plant has secured numerous European orders and plans to supply European customers starting in October. The actual capacity is expected to reach 5 GWh by mid-2024.

See also: China’s Gotion High-tech to Invest $2 Billion in EV Battery Plant, Creating 2,600 Jobs in Illinois

These battery packs will be used in commercial vehicles, energy storage systems, and passenger cars. The plant will also serve as a research center, logistics hub, and after-sales service point for Gotion’s European operations.

The acquisition of the Göttingen plant from the Bosch Group was announced in July 2021, and both phases are set to be operational by 2025, reaching a cumulative capacity of 20 GWh.

The plant currently employs over 200 German workers and has an automation rate exceeding 70%.

Peter Willemsen, COO of Gotion Global, emphasized the importance of China-Europe cooperation for environmental sustainability, stating it’s crucial to “make Europe green again.”

The commissioning of the plant strengthens collaboration between Germany’s Lower Saxony state and China’s Anhui province, with officials from both sides attending a ceremony hosted by Gotion.

Gotion, backed by Volkswagen, received increased investment from Volkswagen China, making it the largest shareholder.

See also: Chinese Battery Giant Gotion High-tech Acquires 25% Stake in European Battery Maker InoBat

The start of operations at Gotion’s battery plant is expected to accelerate Germany’s transition to electric vehicles, aligning with its goal of having at least 15 million electric vehicles on its roads by 2030.

Despite pressure from Chinese EV manufacturers, Germany and China maintain strong business ties and common interests, with Chinese companies contributing significantly to Germany’s economy and technology.

On the day the German plant began operations, Gotion signed agreements with five prominent European companies—BASF, ABB, Ebusco, Ficosa, and Ideno—for collaboration on battery materials, product development, and supply, underscoring its commitment to advancing green technology.

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