Third Volkswagen Gigafactory To Be Built In Spain

It will support BEV production in the country.

Volkswagen ID.4 GTX (2021)

Mark Kane

By: Mark Kane

Jul 14, 2021 at 12:27pm ET

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By the way of announcing the NEW AUTO strategy through 2030, the Volkswagen Group has revealed also a third potential gigafactory investment in Europe.

The company would like to establish (together with partners) a total of six lithium-ion battery cell plants in Europe with a total output of about 240 GWh annually, which means 40 GWh per plant on average.

After a project in Skellefteå, Sweden (with Northvolt) and in Salzgitter, Germany (with Gotion High-Tech), it's time for Spain, where a new battery gigafactory would support planned local electric car production (mostly by SEAT/Cupra).

The project is not yet confirmed, but the Volkswagen Group together with an undisclosed partner would like to reach an output of 40 GWh by the end of 2030.

"As a third location, Volkswagen Group intends to make Spain a strategic pillar of its electric campaign and is considering to establish the entire value chain of electric cars in that country. As part of a larger transformation program, the localization would secure supply for the planned BEV production in Spain. Volkswagen Group verifies the option for a giga factory together with a strategic partner. In its final expansion stage at the end of the decade, the plant is intended to have a yearly capacity of 40 GWh hours."

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One more interesting thing is that the Volkswagen Group will launch in Spain a new family of small electric cars (Volkswagen's triplet successors, we guess) starting in 2025. Those electric cars will also use batteries from the new gigafactory.

"It is also envisaged that the Group’s Small BEV Family will be produced in Spain from 2025. The final decision will depend on the general framework and state subsidies."