Swedish battery manufacturer Northvolt has filed for bankruptcy, marking a significant blow to Europe’s ambitions in battery production.
The company cited a combination of rising capital costs, geopolitical instability, supply chain disruptions, and shifting market demand as key factors behind its financial struggles.
“Further to this backdrop, the company has faced significant internal challenges in its ramp-up of production, both in ways that were expected by engagement in what is a highly complex industry, and others which were unforeseen,” Northvolt stated in a press release.
Despite a previous attempt to stabilize its finances by seeking Chapter 11 bankruptcy protection in the U.S. last November, Northvolt was unable to recover. A court-appointed trustee will now oversee the sale of the company’s assets in Sweden.
