Truck maker Volvo has postponed the beginning of labor on its Swedish battery manufacturing facility by between 12 and 24 months as demand for its product weakens, the Wall Avenue Journal stories.
The challenge was introduced two years in the past with work anticipated to start out subsequent yr.
This will now be pushed again to 2027.
The corporate has a 57% share of the European electrical truck market, and has additionally been a pioneer in electrical development equipment.
However demand for its vans around the globe has declined for the previous 5 quarters, which the corporate blames on an absence of charging stations and inadequate public subsidies.
This setback comes as Northvolt, one other Swedish firm and Europe’s champion within the rising EV battery trade, put again its plans for growth whereas it focused on fixing its manufacturing issues (see additional studying).
The WSJ famous that Chinese language producers have acquired a powerful place within the battery and EV markets, and dominate the availability of sure minerals, leaving European EV makers uncovered to geopolitical or commerce shocks.
Particularly, battery maker CATL and vertically built-in EV firm BYD have greater than half of the worldwide EV battery market between them.
“We’re wanting over the timing for this development to safeguard that we ramp up our personal manufacturing of cells in sync with the tempo of accelerating demand,” a Volvo spokesperson mentioned. “If and the way this may have an effect on the general challenge stays to be seen.”
Subscribe right here to get tales about development around the globe in your inbox thrice per week.
Additional studying
- Northvolt to make cuts and layoffs however ‘stays dedicated’ to gigafactory tasks
- Sweden trials Europe’s first all-electric constructing website
- Stellantis in talks to construct battery mega manufacturing facility with China’s CATL
The put up Volvo delays begin of EV battery plant by as much as two years appeared first on World Building Assessment.