| 10:04 AM EST

BMW Inks $2.3 Billion Battery Deal with Northvolt

Swedish supplier joins CATL and Samsung SDI as BMW ramps up EV efforts
#SamsungSDI #europe #Samsung


Facebook Share Icon LinkedIn Share Icon Twitter Share Icon Share by EMail icon Print Icon

BMW Group has added another battery supplier to support its aggressive electrification plans.

Under the latest deal, Sweden-based Northvolt will begin supplying lithium-ion batteries to BMW brands in 2024. The multi-year pact is valued at €2 billion ($2.3 billion).


BMW already has battery supply arrangements with China's Contemporary Amperex Technology Co. and South Korea's Samsung SDI.

                                                  BMW iX3 (Image: BMW)

The multi-source approach will help BMW overcome potential supply constraints as it ramps up production of EVs and hybrids. The carmaker plans to have 23 electrified models on the road by 2023, with more than half being fully electric—including the all-new iX3 crossover (pictured) that will bow next year.

Working with several suppliers also gives BMW access to more technologies as next-generation chemistries are developed, the carmaker notes.

New Plant

Northvolt will produce BMW’s battery cells at a new factory the supplier is constructing in northern Sweden. The facility is expected to have capacity of 40 GWh by 2024.

Northvolt, which has two other plants in the works, aims to control 25% of Europe’s EV battery market by 2030. The company raised $1 billion last year from investors, including BMW and Volkswagen Group.


All three of BMW’s battery suppliers have committed to use environmental friendly production methods.

This will reduce carbon dioxide emissions by 10 million metric tons over the next decade, according to the carmaker. BMW says the savings is equivalent to the current annual CO2 emissions for city with 1 million-plus residents, such as Munich. The company notes that battery production accounts for 40% of an EV’s manufacturing emissions.


  • Behind the Chevrolet Bolt

    There are some cars that are simply profoundly important than others, and when it comes to cars introduced of late, the Chevrolet Bolt is certainly one of those particularly notable cars.

  • Creating an Electric Ford Transit

    You might be surprised to learn that there is presently a Ford Transit 350HD that is chock full of lithium-ion batteries that you can get right now that doesn’t come out of Dearborn but Loveland, Colorado.

  • Aluminum Sheet for EV Battery Enclosure

    As the number of electric vehicles (EVs) is about to increase almost exponentially, aluminum supplier Novelis is preparing to provide customers with protective solutions