Volkswagen launches battery alliance with Swedish producer Northvolt

Germany’s largest carmaker, Volkswagen, and Swedish battery producer Northvolt have announced a joint research initiative called the European Battery Union (EBU). Partners from seven EU countries are to conduct research along “the entire battery value stream – from raw materials through cell technology to recycling” and “accumulate much broader know-how on battery cell production,” Volkswagen announced in a press release. The company says Germany’s economy ministry (BMWi) could fund the EBU’s research activities, to begin early next year.

Volkswagen recently made the surprise announcement that it would shift to electric mobility much faster than expected, producing 22 million e-cars over the next decade. Germany’s other carmakers, particularly BMW and Daimler, have also ramped up e-vehicle plans, but have clashed with Volkswagen over whether to bet solely on electric drives, or pursue research into fuel cells as well.