Loud bankruptcy. The Swedish giant falls and closes the factory in Poland
The Swedish giant of the battery industry for electric cars declared bankruptcy. This is one of the largest bankruptcies in history, and the closure also applies to the factory in Poland.
The Swedish company specializing in production lithium-ion batteries She submitted a bankruptcy application for electric vehicles. This is an event that Swedish media describes as “The greatest bankruptcy in history” there. The company also finished operating in Poland, where it had its own production plant.
The giant’s fall – problems that led to an end
The company’s management announced that PO exhausting all business rescue options He decided to submit a bankruptcy application to court in Stockholm. – It was the only way out – transferred in an official announcement.
Experts emphasize that the company’s problems are not a surprise. Professor Wallin Andreasen track From the Norwegian Economic School in a conversation with Swedish television, he stated that bankruptcy was predictable. Already at the beginning of 2024 Production in Nordic countries has been suspendedand the company announced the resignation from the development and production of energy warehouses both in Sweden and in Poland. Ultimately, this meant the liquidation of the plant in Gdańsk.
Industry in crisis? Rising costs and a changing market
The company explains its situation with a number of factors that led to a difficult financial situation. The official announcement indicates, among others:
- Rising capital costs,
- Uncertain geopolitical situation,
- Disturbances in the supply chain,
- Changing market demand.
Lars Lysdahl from Rystad Energy emphasized that the company was “bad”, because in a short time it had to face many difficulties at the same time.
What next with Northvolt assets?
Temporary chairman of the Directors’ Council Tom Johnstone He emphasized that the decision on bankruptcy is an extremely difficult moment for the whole company and its employees. – We wanted to create something groundbreaking and make a change in the battery industry and electric vehicles. We believe that our technologies and knowledge will affect the further development of the sector He added.
Northvolt, which for years was considered to be Europe’s hope to become independent of China in battery productionnow he faces a question about the future of his assets. The fate of factories and the company’s technology will decide trustee designated for bankruptcy management.
What consequences for the market?
The bankruptcy of a Swedish battery manufacturer is a signal that The electric vehicle industry in Europe is experiencing serious difficulties. High production costs, supplies with supplies and an unstable economic situation make it Many battery manufacturers must fight for survival.
Does this mean a slowdown in the development of the electric car market in Europe? The future of the sector depends on whether other companies manage to take over the technologies and production capacity of the bankrupt giant.
