Volkswagen Invested 450 Million Euros To Build A Battery Factory

- May 20, 2020-

Recently, Volkswagen announced an investment of 450 million euros to build a lithium battery plant, which is expected to begin official production in 2024, with a production capacity of approximately 16GWh.

As a world-renowned car company, Volkswagen is also responding to the pace of the times and gradually implementing the electrification strategy. From the original pure electric concept car, to the ID.3 (parameter | picture) that has begun mass production today, and the ID.4 that has been unveiled, this is the embodiment of Volkswagen's electrification strategy.

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The manufacture of pure electric vehicles is different from fuel vehicles. Pure electric vehicles require battery packs to drive motors, so they have very strict requirements on battery packs. First of all, the capacity of the battery pack used by the vehicle should be high and the weight should be light, so that the cruising range of the vehicle can be higher. These two points are already very difficult to achieve; at the same time, the safety of the battery pack is related to the consumer It is safe, so it is generally subject to strict safety tests when manufacturing batteries. The current "needle penetration" test is currently a relatively high test standard.


If Volkswagen wants to establish its own battery factory to achieve its own production and use standards, this does require a high technical content. In fact, Volkswagen has conducted small-scale battery production in the past two years, but this output is far from enough. As a car company that sells synchronously globally, the demand for battery packs is an astronomical figure.


This time Volkswagen's planned production capacity is 16GWh. According to the 60kWh battery pack capacity commonly used in mainstream models, it can meet the assembly of 300,000 pure electric vehicles. The production capacity of 300,000 vehicles is not enough for Volkswagen. Even if the battery plant is operating as scheduled, Volkswagen will continue to cooperate with suppliers such as LG Chem, Samsung and Ningde Times, but this can save a certain amount of battery expenditure .


The demand for pure electric vehicles for battery packs is very large. At present, many car companies have begun planning strategies for self-production and self-use. However, manufacturing batteries is not a simple project. The technical content is very high, and I do n’t know the public. Whether this investment will eventually get a corresponding return.