HEIDE/BERLIN (dpa-AFX) - In the presence of Federal Chancellor Olaf Scholz (SPD), the Swedish company Northvolt will officially launch the construction of a battery factory for electric cars near Heide on Monday (10.30 a.m.). In addition to Northvolt CEO Peter Carlsson, Federal Economics Minister Robert Habeck (Greens) and Schleswig-Holstein's Minister President Daniel Günther (CDU) are also expected to attend the symbolic ground-breaking ceremony. "Northvolt's investment will give a further boost to electromobility in Germany," said deputy government spokesman Wolfgang Büchner on Friday. It will make Germany less dependent on imports and strengthen the automotive industry in international competition.

According to the company, the investment volume for the Gigafactory on an area of 110 hectares in the municipalities of Lohe-Rickelshof and Norderwohrden (Dithmarschen district) amounts to 4.5 billion euros. Production is scheduled to start in 2026. From 2029, battery cells for around one million e-cars per year are to be produced there. 3,000 direct jobs are planned. A plant for recycling old batteries from discarded e-cars is also planned.

At the beginning of the year, the EU Commission cleared the way for federal and state funding and guarantees for the project amounting to 902 million euros. They are demanding around 700 million euros for the battery factory. There are also guarantees for a further 202 million euros. Of the funds requested, around 564 million euros will be provided by the federal government and up to 137 million euros by the state of Schleswig-Holstein./akl/DP/men