Volkswagen, Bosch to Grow European Battery Production

Volkswagen and Bosch are teaming up in bid to accelerate automotive battery production in Europe.

The companies have signed a memorandum of understanding aiming to establish a European battery equipment provider. They want the new company, expected to be created by the end of 2022, to supply integrated battery-production systems as well as on-site ramp-up and maintenance support for battery-cell and system manufacturers.

First step for the project is to explore the possibilities of industrial-scale solutions for battery manufacturing on the continent. The move responds to an industrywide demand for battery technology. In Europe alone, various companies are planning to build cell factories with a total yearly capacity of about 700 gigawatt-hours by 2030.

Both partners in this alliance also hope to boost each other’s standing toward playing leading roles in the world of e-mobility. The partnership draws on Volkswagen’s mass-production expertise, as the automakeris striving to become a major battery-cell manufacturer, while Bosch enjoys considerable experience and know-how in factory automation and systems integration.

The corresponding memorandum of understanding was signed by Thomas Schmall, member of the board of management of Volkswagen Group in charge of technology and CEO of Volkswagen Group Components, and Rolf Najork, member of the board of management of Robert Bosch Group and chairman of the executive board of Bosch Rexroth.

Schmall says: “Europe has the unique chance to become a global battery powerhouse in the years to come. There is a strong and growing demand for all aspects of battery production, including the equipment of new gigafactories.”

Najork adds: “Together with Volkswagen, we seek a path to industrialize production processes for battery cells with standardized equipment. We have the best prerequisites for this.”