European Chemical Industry News & Insights

Northvolt to Build Third Gigafactory in Heide, Germany

At a glance
  • The gigafactory will have a production capacity of 60 GWh annually by 2025.
  • It will create approximately 3,000 new jobs.
  • The factory will focus on producing lithium-ion batteries with a low environmental footprint.
  • Northvolt aims to source 50% of raw materials from recycling by 2030.

New Gigafactory in Heide

Northvolt plans to establish a battery gigafactory in Heide, Schleswig-Holstein, northern Germany. The facility, named Northvolt Drei, will have an annual production capacity of 60 GWh, sufficient for one million electric vehicles. The factory is expected to start producing batteries in 2025 and will create around 3,000 new jobs.

Sustainability Focus

Northvolt Drei aims to produce high-performance lithium-ion batteries with the lowest environmental footprint in continental Europe. The selection of Heide is strategic due to its clean energy grid, characterized by a surplus of wind power and reinforced by clean energy from Denmark and Norway. The factory will also source significant volumes of raw materials from recycled battery metals, aligning with Northvolt's commitment to obtain 50% of its raw materials from recycling by 2030.

Strategic Location

Heide's location is central to the emerging European battery supply chain, connecting Scandinavia and continental Europe. The region offers the necessary space to establish a large battery plant, leveraging economies of scale to reduce costs. Additionally, access to German industrial competence and automotive expertise will ensure the production of high-quality batteries and provide critical labor force experience with battery technology.

Recycling and Circularity

Northvolt Drei will include an on-site battery recycling plant to efficiently reuse byproducts from the production process and provide a sustainable solution for end-of-life electric vehicle batteries recovered from European markets. This initiative supports Northvolt's broader mission to deliver batteries characterized by clean energy and circularity.