Following on from other recent announcements in the field, Umicore has announced a 5-50, €3 billion joint venture to supply precursor and cathode material production to the European battery cell factories of PowerCo, the Volkswagen Group’s battery company. No site has yet been chosen.

This will begin in 2025 by supplying PowerCo’s factory in Salzgitter. They aim to reach 40 GWh cell/year capacity in 2026 and to quadruple that to 160 by 2030, depending on market and demand development. This would be equivalent to what is needed to power about 2.2 million full electric vehicles.

Subject to final agreements and customary conditions, including regulatory approvals, Umicore and Volkswagen will establish a joint venture in precursor and cathode material production in Europe. This will begin in 2025 with initial production of 20 GWh/year for the plant in Salzgitter, Germany, and should grow to 160 GWh/year by 2030, enough to power about 2.2 million full electric vehicles.