VW does not expect any problems with the delivery of battery cells for future electric cars

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VW does not expect any problems with the delivery of battery cells for future electric cars-problems

In mid-April we already reported that not everything is going as it should at the Audi plant in Brussels. There are said to be difficulties in ramping up production of its first all-electric e-tron SUVs to the planned number. Because Audi’s South Korean battery supplier LG-Chem is not able to supply enough batteries from its plant in Poland.

Is the VW ID.3 before battery delivery problems?

With this knowledge in mind, we have already asked ourselves whether VW will even be able to start production of the ID.3 ensure. There have also been rumors and reports suggesting that Volkswagen is having serious problems with its battery cell supplier, Samsung SDI.

Thomas Ulbrich, VW Board Member for Electromobility, told Automotive News Europe that there was no need to worry: “I can confirm that an adequate cell supply is contractually secured for the first few years of our plan.” the case until 2023.

Battery cell suppliers are bound by delivery obligations

Ulbrich also dismissed speculation that VW’s current battery cell suppliers could terminate contracts after VW decided to invest €900 million in a battery cell plant in Salzgitter with Swedish partner Northvolt.

At first there was another cooperation in the room. We already reported in February that the Wolfsburg-based car company, together with the Korean cell specialist SK Innovation, would like to invest several billion euros in the construction of up to three gigafactories near the VW plant. But LG Chem does not agree with that. The Koreans threatened that they might stop delivering if VW started production with SK Innovation. And possibly from now on. This was reported by managers familiar with the negotiations.

For Ulbrich, it seems clear that the battery suppliers were probably hoping that they could “maintain an oligopoly for a very long time”. Due to corresponding contracts, however, they are not able to get out of their obligations.

VW is consistently driving e-mobility forward

The Volkswagen Group is driving forward the fundamental system change in individual mobility and is consistently focusing on electric drives. Almost 70 new electric models are to come onto the market over the next ten years. The number of projected vehicles on the group’s e-platforms is 22 million.

This increases the battery requirement of the Volkswagen Group to more than 300 GWh annually in Europe and Asia alone. Today’s cell capacities do not cover what the market will need in the future. Europe alone is currently expected to have an annual demand of more than 150 gigawatt hours from 2025 – and in Asia also in the same order of magnitude.
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1 thought on “VW does not expect any problems with the delivery of battery cells for future electric cars”

  1. “I can confirm that sufficient cell supply is contractually secured for the first years of our plan,”

    Now there is only the question of the plan…if you hardly plan BEVs, the cells will be enough.
    On the other hand, a contractual security is not automatically a delivery guarantee.

    Reply

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