Gotion's German battery plant is expected to be ready to supply European customers from October and could reach a real-world capacity of 5 GWh by mid-2024.

(Chinese and German officials witnessed the commissioning of Gotion's first battery production line in Germany. Image credit: Gotion)

The 40-year history of cooperation between Lower Saxony and Anhui is the first of its kind, said Lower Saxony Governor Stephan Weil. "In the past, engines were the most important parts of fuel vehicles, but in the future, batteries will be the core components of electric vehicles," Weil added.

Gotion is a battery maker backed by German automotive giant Volkswagen. In December 2021, Volkswagen China increased its stake in Gotion to 26.47 percent, making it the largest shareholder in the Chinese battery maker.

In early 2022, Gotion was named the official production site for Volkswagen China's NCM and LFP unified batteries. On May 11 this year, Gotion received a procurement letter from Volkswagen, making the company a designated supplier to Volkswagen for overseas markets.

The commissioning of Gotion's battery plant will help accelerate the electrification transition of Germany's domestic carmakers, despite the fact that European carmakers are currently facing pressure from Chinese EV makers, with the European Union announcing on September 13 that it was launching an anti-subsidy investigation into Chinese EVs.

Nonetheless, Germany and China have strong business ties and a large number of common interests.

Chinese companies already employ more than 100,000 people in Germany and are on the rise, and provide an important technological boost in key areas for the future, said Michael Schumann, Chairman of the Board of the Federal Association for Economic Development and Foreign Trade, according to a press release from Gotion.

By 2030, there should be at least 15 million all-electric vehicles on Germany's roads, and the country is still a long way from realizing this goal, according to Schumann.

On the day its German plant went into operation, Gotion signed agreements with five European companies, including BASF, ABB, Ebusco, Ficosa, and Ideno, to collaborate on battery materials and product development, and the supply of automotive and energy storage products, according to the company.

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