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Northvolt EV battery plant project near Montreal to continue ‘as planned’

An aerial view of the land being developed by Northvolt, the new EV battery plant being built by the Swedish manufacturer in Saint-Basile-le-Grand, east of Montreal, Que., on Thursday, May 16, 2024. File photo by The Canadian Press/Christinne Muschi

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Northvolt says it will continue construction of a $7-billion factory on Montreal's South Shore "as planned" — hours after its CEO said the Swedish battery manufacturer would hit the brakes on its international development plan to refocus on its plant back home.

The company has two massive plants in the works — one in Canada and the other in Germany — and has fallen behind on the building schedule of its mega-factory in the Scandinavian country.

Northvolt spokesman Laurent Therrien says it is carrying out a strategic review that will determine timelines for its various projects.

He says it is "undeniable" that the company faces pressure from customers to deliver on its order book.

Nonetheless, the nine-year-old outfit says that "at this time" it still aims to play a key role in the global energy transition by generating electric batteries in Quebec.

@northvolt says it will continue EV battery plant project near #Montreal ‘as planned’. #Northvolt #EVBatteryPlant

As of last month, the plant was supposed to begin manufacturing electric battery cells and producing cathode active material by 2026.

This report by The Canadian Press was first published July 2, 2024.

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