Volkswagen Group's PowerCo SE has announced the construction of its second electric vehicle (EV) battery gigafactory in Valencia, Spain. With an initial annual production capacity of 40 GWh, the plant has the potential to expand up to 60 GWh in the future. The cell factory will cover an area of approximately 130 hectares and supply unified cells to vehicle plants in Martorell and Pamplona, among others. The facility will operate on green electricity generated by solar and wind power.
Since its launch in July 2022, PowerCo has chosen three sites for cell factories, with Valencia and Salzgitter already under construction. The new gigafactory in St. Thomas, Ontario, Canada, has also been announced.
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PowerCo's objective is to become a global player in the battery business and produce sustainably manufactured battery cells to promote better mobility. Thomas Schmall, Board of Management member responsible for Group Technology and Chairman of the Supervisory Board of PowerCo SE, said, “We are moving into the fast lane with PowerCo. Our objective is to make PowerCo a global player in the battery business and pave the way for better mobility with sustainably manufactured battery cells. The gigafactory Valencia is an important milestone in that.”
Frank Blome, CEO of PowerCo, emphasized that the company stands for responsible conduct and good working conditions, care for the environment, and sparing use of scarce resources. The new gigafactory will create over 3,000 jobs of the future and work with the regional government to initiate targeted projects aimed at strengthening science and society.
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PowerCo bundles the Volkswagen Group's global battery business throughout the value chain, from raw material supply and development to the construction and operation of gigafactories. The Valencia gigafactory is a significant step towards Volkswagen Group's goal of becoming the world's leading producer of electric vehicles and a key player in the global battery business.
