VW and Gotion plan to invest billions in battery cell joint ventures

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 media 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.

Production is already underway in Salzgitter

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.