Porsche has reportedly decided to postpone its plans to build a large battery cell factory in Brandenburg, according to a report from a German media outlet. The decision is expected to be formally announced at the company’s Annual General Meeting on June 7th.
Just two weeks ago, Porsche had approved the production of the all-electric Macan in Leipzig and was also considering the possibility of establishing its own battery production facility. Initial plans suggested that this facility could be built in Schwarzheide, located in the district of Oberspreewald-Lausitz in Brandenburg, which is approximately 100 kilometers from Leipzig and in close proximity to a BASF factory for cathode material in Schwarzheide.
However, recent developments indicate that these plans have been put on hold. The publication Tagesspiegel Background reports that Porsche’s Supervisory Board is uncertain about the necessity of the planned gigafactory for battery cells. “The problems in China, the largest car market by far, and the weak demand for electric cars in Germany in particular are causing the company’s strategists to hesitate. Just a few years ago, battery cells were in short supply; now there is talk of overcapacity,” writes Tagesspiegel Background.
Porsche had established a battery subsidiary called Cellforce almost three years ago, which is currently constructing a pilot plant near Reutlingen with a production capacity of up to 1.3 gigawatt-hours. Last year, there were reports of a potential expansion to over 20 gigawatt-hours at a second location, with Schwarzheide in Brandenburg being considered.
The potential cancellation of Porsche’s plans would be a setback for Brandenburg’s efforts to establish a cluster for battery production. Earlier this week, Chinese battery manufacturer Svolt announced that it would not be building a battery factory in Lauchhammer, also in Brandenburg. Additionally, Rock Tech did not receive federal funding from Germany for its planned lithium converter in Guben, which came as a surprise.
The decision by Porsche underscores the challenges and uncertainties facing the electric vehicle industry, particularly in the context of fluctuating market demands and evolving technological landscapes.
