Volkswagen, Umicore venture picks Poland for first car battery parts plant By Reuters

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<span>© Reuters. FILE PHOTO: Volkswagen vehicle is parked during a news conference to announce details on the construction of a gigafactory for electric vehicle battery production by Volkswagen Group’s battery company PowerCo SE in St. Thomas, Ontario, Canada April 21, 20</span><br />
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<p>BERLIN (Reuters) – The auto battery parts joint venture between Volkswagen (ETR:)’s PowerCo and Belgian materials firm Umicore has chosen Poland as the site for its first factory, PowerCo said on Saturday.</p>
<p>Through the $2.9 billion joint venture, dubbed Ionway, first flagged in December 2021, the companies are joining a number of European automakers that have brought battery supplies closer to home in the shift towards electric vehicles.</p>
<p>The Polish government is providing 350 million euros ($371 million) in cash grants for the investment in the southwestern town of Nysa that would create around 900 jobs, it said.</p>
<p>Ionway wants to build up its annual production capacity by the end of the decade to around 160 gigawatt hours (GWh) per year – enough for 2.2 million electric vehicles.</p>
<p>PowerCo – whose Poland initiative comes after VW in April set out plans to invest up to C$7 billion to build a car battery plant in Ontario, Canada – said it had decided on Poland because the location was strategically favorable, plus there was sufficient skilled labour and renewable energy sources for production.</p>
<p>Construction work will begin as soon as the permitting process is completed, it said.</p>
<p>Ionway is intended to supply PowerCo’s European battery cell factories with key battery materials and to cover a large portion of PowerCo’s needs in the European Union. In return, Umicore receives secured access to an important part of Europe’s demand for cathode materials for electric vehicles.</p>
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<br /><a href="https://www.investing.com/news/commodities-news/volkswagen-umicore-venture-picks-poland-for-first-car-battery-parts-plant-3193034">Source link </a></p><p>The post <a href="https://forextraderhub.com/volkswagen-umicore-venture-picks-poland-for-first-car-battery-parts-plant-by-reuters.html">Volkswagen, Umicore venture picks Poland for first car battery parts plant By Reuters</a> first appeared on <a href="https://forextraderhub.com">Forex Trader Hub</a>.</p>