- Gigafactory Valencia will start production in 2026, creating over 3,000 direct jobs.
- The factory's initial capacity is 40 GWh, expandable to 60 GWh.
- The project is part of a 10 billion euro investment program for Spain's electrification.
- The factory will use green electricity from a new 250-hectare solar farm.
Construction and Employment
PowerCo SE has initiated the construction of its second cell factory in Valencia, Spain. The gigafactory is expected to begin production in 2026, directly employing over 3,000 people and potentially creating up to 30,000 indirect jobs through suppliers and partners.
Production Capacity
The factory will initially have an annual production capacity of 40 GWh, with the potential to expand to 60 GWh. The facility will cover an area of around 130 hectares in Sagunto, near Valencia, and will include a supplier park, bringing the total area to 200 hectares.
Investment and Electrification
This project is a key component of a 10 billion euro investment program called “Future: Fast Forward,” announced by the Volkswagen Group, PowerCo, SEAT S.A., and 49 partners. The program aims to electrify Volkswagen's car factories in Martorell and Pamplona as part of Spain's PERTE initiative for electric and connected vehicles.
Sustainability
The gigafactory will be powered entirely by green electricity, sourced from solar and wind power, including a new 250-hectare solar farm nearby. The factory aims to close the raw material cycle on-site, contributing to sustainable battery production.
Strategic Importance
Factors influencing the decision to build in Valencia included the availability of low-cost green electricity, a strong regional research and innovation cluster, good transport infrastructure, and proximity to Volkswagen's Spanish production sites. The factory will supply unified cells to vehicle plants in Martorell and Pamplona.
