Sweden declines to pull Northvolt out of financial tailspin

On 16 September 2024, Swedish Prime Minster Ulf Kristersson dealt a blow to battery developer Northvolt when he stated the country would not be providing any financial aid. "There is no doubt that we are committed to Sweden being a good place for new technology that is needed in the green transition, but it is not relevant for the Swedish state to step in and take a stake," Kristersson said in a press conference, according to Reuters.

Northvolt has been considered Europe’s great hope for establishing a domestic lithium-ion supply chain since it was founded in 2015. It currently has one live gigafactory (Northvolt Ett) with a full capacity target of 60GWh. Having secured investment from big-name OEMs like Volkswagen and BMW, the company’s future looked bright. However, that future has been called into question since it published a strategic review on 9 September 2024.