VW is setting up joint ventures with Chinese battery manufacturer Gotion in Spain, Slovakia and Morocco

VW needs batteries for its electric car offensive. For production, the group is now entering into a joint venture with the Chinese manufacturer Gotion. The German car manufacturer wants to invest hundreds of millions of euros in the coming years. Even more money comes from China.

Europe's largest car manufacturer VW and the Chinese battery cell manufacturer Gotion want to work more closely together - and are investing billions of dollars to do so. Three joint ventures are planned in Spain, Slovakia and Morocco, as Volkswagen, the VW battery division PowerCo and Gotion announced. The plans are still subject to official approval, among other things. The “Handelsblatt”, among others, had previously reported.

According to the information, the PowerCo battery cell factory under construction in Valencia, Spain, is to be incorporated into a joint venture. The Gotion factory in Surany, Slovakia is also to be transferred to a joint venture. In Morocco, the partners are also planning a new plant for the material needed to produce battery cells. All three companies are to be managed together.

The partners are spending a lot of money on this: the VW battery subsidiary is expected to invest a total of around 470 million euros in the locations in Slovakia and Morocco by 2030 in order to acquire 49 percent of the companies there. In return, Gotion is expected to raise around 1.1 billion euros for 49 percent of the Valencia location.

PowerCo is the battery division of the Volkswagen Group founded in 2022. Among other things, it bundles the development and production of battery cells. The first factory in Salzgitter started production at the end of 2025. Another work is being built in St. Thomas, Canada. These two locations are not directly affected by the agreement.