Swedish tech company Anodox Energy Systems has announced its plans to establish production facilities for electric vehicle batteries in Latvia.
The announcement comes in light of the country’s efforts to establish itself as a European hub in the global automotive value chain.
“Our goal is to complement this product range and make sure that the cars are assembled in Latvia. Such a project will strengthen Latvia’s position in the engineering sector, offering the most advanced technological solutions, highly paid jobs and expanding cooperation with global players and export markets,” Latvia’s Minister of the Economy, Janis Vitenbergs said.
According to the press statement of the Ministry of Economics of Latvia, the first factory is expected to be operational as early as the end of 2022 in the port of Riga while a second, lithium iron phosphate (LFP) technology production plant will be established soon after. The company plans to invest a total of 50 million euros in these facilities.
In the first phase of the initiative, Anodox wants to produce high-quality battery packs for electric cars and light trucks in an automated factory, informs the Ministry. In the second phase, the company will produce high-performance cells leveraging LFP battery technology which is known to be longer-lasting and produced at a lower cost than many of the electric vehicle batteries on the market today.
“This means that the battery production cycle will be completed in Latvia, from raw material to the complete system. From Riga, the finished products will be delivered to customers in Scandinavia, Germany and the rest of Europe. A truly strong demonstration of our commitment to bring Latvia to the forefront of automotive technology,” Director General of the Investment and Development Agency of Latvia, Kaspars Rožkalns said.