Traton Considers New Battery Plant for Electric Trucks Amid EU Regulations

Credit: Traton

Traton, the truck subsidiary of Volkswagen, is exploring the establishment of a new battery assembly plant to meet rising demand for electric trucks under stringent EU emission regulations.

The German news agency DPA reported, citing a company spokesperson, that potential locations for the new facility include Salzgitter in Germany, Krakow in Poland, and Zwolle in the Netherlands. This move marks Traton’s third foray into battery production, following plants in Sweden and Nuremberg, Germany.

“We are in the early stages of considering a third factory,” the spokesperson said, with a decision expected by autumn. Production, if approved, could commence in the early 2020s. However, Traton is also exploring battery procurement as an alternative strategy.

Under new EU rules, manufacturers must slash CO2 emissions from their new vehicle fleets by 45% by 2030 compared to 2019 levels, escalating to 90% by 2040. This regulatory pressure underscores the urgency for comprehensive electrification in the automotive sector.

According to German media reports, the investment for the proposed plant could reach around €200 million, aiming for a production capacity similar to its Nuremberg facility, capable of assembling up to 100,000 battery modules annually.

Salzgitter, a stronghold for Volkswagen, emerges as a potential site, leveraging existing infrastructure. Volkswagen is concurrently constructing its own battery cell factory in the region, while MAN, under Traton, operates a component plant there.

In parallel, competitor Daimler Truck is advancing its own battery ambitions with a US-based cell plant joint venture, enhancing its supply chain integration beyond Traton’s model.

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