Revolutionising the automotive trade, creating future-proof jobs and introducing revolutionary expertise: what a gigafactory might carry to the Czech Republic

The Volkswagen Group is contemplating constructing one in all six gigafactories in Central and Japanese Europe to supply battery cells for battery-electric autos (BEV).

The Volkswagen Group is contemplating constructing one in all six gigafactories in Central and Japanese Europe to supply battery cells for battery-electric autos (BEV). With its auto trade spearheaded by ŠKODA AUTO, the Czech Republic is among the many few websites to be shortlisted. Backed by the Czech authorities, the one location that ticks all of the packing containers is the Pilsen–Líně website. The proposed funding challenge value CZK 120 billion represents the most important non-public funding in Czech historical past and would radically remodel the automotive trade within the Czech Republic and past. This text highlights the small print of the potential gigafactory within the Czech Republic, outlining the present scenario within the nation, what the Volkswagen Group is planning in addition to addressing frequent questions.

The Czech authorities has unequivocally declared its help for the Volkswagen Group to construct one in all its six deliberate battery cell factories – a so-called gigafactory – within the Czech Republic.

“The automotive trade accounts for 10% of GDP and 25% of the Czech Republic’s exports, and lots of of different firms and tens of 1000’s of workers are linked to automobile producers. If we would like this sector to play a major position sooner or later, we have to adapt to the adjustments going down in it. If the Volkswagen Group confirms the challenge, it will likely be the most important non-public funding within the historical past of the unbiased Czech Republic.” – Petr Fiala, Prime Minister of the Czech Republic


› If the Volkswagen Group chooses the Czech Republic as the situation for a gigafactory amongst a number of extremely engaged rivals, 1000’s of future-proof jobs could be created within the nation together with billions in investments
› The gigafactory could be essential to remodeling the automotive trade and ŠKODA AUTO as a significant stakeholder
› The federal government is ready to take all steps to make sure that the Volkswagen Group’s strategic gigafactory building challenge is applied within the Czech Republic
› The gigafactory is a prerequisite for industrially reworking and rising the financial and social attractiveness of the Czech Republic and the Pilsen area

In cooperation with CzechInvest, Plzeň–Líně was chosen as the perfect location after a cautious choice course of lasting nearly 18 months. The opposite areas mentioned don’t meet the Volkswagen Group’s wants when it comes to dimension, water assets or important transport infrastructure.

Creating future-proof jobs and bringing extremely certified specialists into the area

Establishing the plant within the Czech Republic would virtually create a brand new sector of the Czech economic system and provides rise to the manufacturing of revolutionary future applied sciences. It might additionally enable for your complete battery manufacturing chain – from lithium mining, and the manufacturing of BEVs to recycling – to be localised within the Czech Republic and thus carry a key aggressive benefit to Central and Japanese Europe. In flip, the challenge would complement public budgets with over CZK 71 billion over the subsequent decade. Amongst different areas, the gigafactory would help the manufacturing trade in addition to the event of different industrial companies equivalent to insurance coverage, transport and warehousing. Strengthening the development and vitality sectors would add additional advantages.

“The gigafactory could be essential to remodeling the Czech automotive trade. It might create as much as 4,000 future-proof jobs, carry extremely certified specialists into the area and safe the potential to introduce coaching amenities, secondary college and college programs to help college graduates and the native workforce in acquiring their {qualifications}.” – Klaus Zellmer, ŠKODA CEO

The inflow of certified workers would increase the housing market and intensify housing building, in addition to offering recent impetus to the event of transport and social infrastructure, elevating residing requirements throughout the area. With the settlement of all stakeholders, building of the gigafactory would start within the third quarter of 2024, with manufacturing ramping up as early as 2027.

Volkswagen Group intends to construct six standardised factories in Europe

In collaboration with companions, the Volkswagen Group plans to be working six battery cell factories with a complete quantity of 240 GWh in Europe by 2030. The Group will likely be basing these on a standardised manufacturing unit idea; the Salzgitter headquarters will function a blueprint for the vegetation throughout Europe and set new requirements when it comes to sustainability and innovation.

“What we have now put to the take a look at hundreds of thousands of instances over with car platforms such because the MQB and MEB may also lay the muse for establishing cell manufacturing: we will likely be standardising on the idea of European requirements and upscaling. This fashion, we are going to mix pace and price optimisation with the very best high quality ranges.” – Frank Blome, PowerCo CEO

Standardisation won’t solely cowl gear, buildings and infrastructure but additionally merchandise, processes and IT. This may also allow factories to be quickly transformed for future product and manufacturing improvements. Every manufacturing unit will run solely on renewable electrical energy and will likely be designed for future closed-loop recycling.

Excessive-tech manufacturing of battery cells

Battery manufacturing is a chemical-technological course of, with a cathode and anode being produced for every cell. The method begins by mixing the feedstock right into a paste, which is then deposited on a skinny steel movie. That is adopted by drying and compacting the layer by rolling and trimming it to the required dimension. The complexity of this course of lies within the exactly outlined parameters which are important for the standard of every battery, for instance, sustaining the right focus, viscosity, homogeneity and residual moisture. The following step within the course of is producing the battery cell itself. First, the electrodes (cathodes and anodes) must be stacked after which wrapped in protecting packaging. Earlier than sealing the package deal, the electrolyte is fed into the cell. The following step is the formation course of, the place the battery cells are electrically charged for the primary time. Solely then is the cell hermetically sealed and at last examined.


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