Volkswagen Group, its battery company PowerCo SE, and Gotion High-tech have agreed to deepen their strategic partnership and accelerate the development of a regional battery supply chain in Europe. The expanded collaboration will cover the industrial production of LFP battery cells and cathode active materials.
The companies plan to establish joint ventures at sites in Valencia, Spain; Šurany, Slovak Republic; and Kenitra, Morocco. Valencia is set to become a European production hub for LFP batteries. The initiative aims to strengthen Europe’s position in the global LFP battery market, where demand is expected to grow significantly.
Separately, Volkswagen Group said it has entered into definitive agreements to sell a 5.3% equity stake in Gotion.