(Umicore) Volkswagen AG is accelerating its 30 billion euro or $34 billion Europe’s electric car investment goal by creating a joint venture with Umicore for its raw material needs.
The JV will provide cathode materials to the automaker’s battery cell factories planned by 2030, with production set to start in 2025 in Germany.
The venture will target an annual production capacity of 160 GWh within a decade that will power about 2.2 million electric vehicles.
Volkswagen says partnering with Umicore allows the automaker to come up with a world-class European supply chain. Refining and battery recycling are also expected to be included in the partnership.
Umicore’s deal comes after VW struck a deal with lithium developer Vulcan Energy Resources for geothermal-mined lithium in Germany. The automaker is also investing in 24M, a battery startup, in a move seen to play catch-up with EV leader Tesla.
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