Finnish automotive manufacturer Valmet Automotive is to extend its battery plant in Salo after less than 12 months of operation to meet demand for increased volumes of battery packs.
The company says the extension will raise the production capacity for battery packs and double the number of employees. Construction work has already started and will be completed during the summer of 2021.
The extension project will incorporate an entirely new production line to increase the volume and range of products that can be manufactured. The company notes that production volumes at the plant have recently reached record levels.
The plant currently employs about 200 people. With increased production in the plant, the number of employees is expected to rise to more than 400 during 2021 and 2022.
Olaf Bongwald, CEO, Valmet Automotive, noted, “Battery systems are the most significant growth area for Valmet Automotive, and we intend to become a key player both as a battery contract manufacturer and as a Tier 1 system supplier. The Salo battery plant plays an important role in our growth plans.”
The company estimates that its sales from battery systems and EV solutions will reach or even exceed the sales of vehicle manufacturing in the coming years and the company’s business strategy emphasizes the importance of e-mobility in every business line.