Major EV Battery Start Up Fires 5,300

One of the most promising EV battery startups in the world has declared bankruptcy. Northvolt has laid off 5,300 people and has only 1,700 remaining.

The business will be sold off in pieces if it is sold at all. The bankruptcy only buys it time to do this. “Despite significant reductions, it is positive that the business can continue to some extent, which is likely crucial to enabling a full or partial sale of the business,” Northvolt’s bankruptcy trustee, Mikael Kubu, said.

Northvolt was Europe’s play in the enterprise battery industry. It ate through $10 billion. The play was to provide batteries to EU EV businesses. VW was the largest investor. VW has put billions of dollars into EVs and has lost it all. 

Industry Dominated By China

The failure shows the extent to which there is competition for EV batteries. China controls the industry, and its advantage is due to government subsidies. 

Because global EV sales have slowed, the room for battery competition has naturally faltered.

---

Sponsor

Find a Vetted Financial Advisor

1. Finding a fiduciary financial advisor doesn't have to be hard. SmartAsset's free tool matches you with up to 3 financial advisors that serve your area in 5 minutes.
2. Each advisor has been vetted by SmartAsset and is held to a fiduciary standard to act in your best interests. Get on the path toward achieving your financial goals!

More from ClimateCrisis 247

• America’s Most Dangerous Nuclear Reactor To Power AI
• Wind Company Faces Trump-Triggered Bankruptcy
• AI Firms May Not Need Our Electricity
• Cutting Home Electricity Bills In Half