Northvolt is announcing its initial steps to be taken as part of its strategic review. These measures reflect a challenging macroeconomic environment and our subsequent reassessment of Northvolt’s near-term priorities, leading to a re-scope of operations and appropriate resizing of our workforce.
The strategic review’s core objective is to focus resources on becoming a leader in sustainable large-scale cell manufacturing. This endeavour entails ramping up the first phase of the Northvolt Ett gigafactory, Sweden, whilst continuing to leverage the world-class R&D facility Northvolt Labs, in Västerås, Sweden. This is a key requirement for Northvolt to maintain its position as a leading cell manufacturer in the Western world.
Peter Carlsson, CEO and Co-Founder of Northvolt, commented: “With the strategic review now underway, we are having to take some tough actions for the purpose of securing the foundations of Northvolt’s operations to improve our financial stability and strengthen our operational performance. While conditions at this time are challenging, there remains no question that the global transition towards electrification — and the long-term outlook for cell manufacturers, including Northvolt — is strong.”
Tom Johnstone, Interim Chairman of the Northvolt Board of Directors, commented: “Our success is in part dependent on the overall market ramp-up of electric vehicles and support from stakeholders around us. Equally, we must build on lessons learnt through our journey to date.”
While Northvolt’s challenges remain highly relevant in the short-term, they have not changed the long-term foundations supporting Northvolt’s key value proposition. The competitiveness of transatlantic markets, the regionalization of supply chains, as well as the importance of the battery industry in fighting climate change are still key issues where Northvolt can play a significant role.
