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Gigafactory

Nissan to invest £1 billion in establishing Electric Vehicle (EV) Hub as a world-first EV manufacturing ecosystem

The auto industry is accelerating towards electrification of products, ultimately leaving behind the combustion engine that has been blamed for causing pollution of the environment and bringing on climate change. However, unlike previous transitions, this one is a radical one that calls for a change in the ecosystem of the industry. The existing ecosystem has evolved over 100 years around the combustion engine and now, with electrification, manufacturing processes and supply chains need to be changed.

Different carmakers are taking different approaches and Nissan will make a total investment of £1 billion (about RM5.82 billion) in establishing a flagship Electric Vehicle (EV) Hub as a world-first EV manufacturing ecosystem. To be known as Nissan EV36Zero, the core of this hub will be at its 35-year old manufacturing complex at Sunderland in the United Kingdom.

The transformational project has Envision AESC, a global player in world-leading battery technology, and the Sunderland City Council as partners. Made up of three interconnected initiatives, Nissan EV36Zero brings together electric vehicles, renewable energy and battery production, setting a blueprint for the future of the automotive industry.

“This project comes as part of Nissan’s pioneering efforts to achieve carbon neutrality throughout the entire lifecycle of our products. Our comprehensive approach includes not only the development and production of EVs, but also the use of on-board batteries as energy storage and their reuse for secondary purposes,” said Nissan President & CEO, Makoto Uchida. “The experience and know-how gained through the project will be shared globally, enhancing Nissan’s global competitiveness.”

Building on Nissan’s historic presence in Sunderland, the projects represent 6,200 jobs at Nissan and its UK suppliers, including more than 900 new Nissan jobs and 750 new Envision AESC jobs at its new smart, low-carbon battery plant. Longer-term, the transformational project modernises and expands Nissan’s EV production capability in the UK.

Envision AESC will deploy integrated AIoT smart technology to monitor and optimize energy consumption, manufacturing and maintenance at its new gigafactory, enabling it to rapidly increase production and provide batteries to power up to 100,000 Nissan electric vehicles a year.

New-generation electric crossover
As part of the investment, Nissan will invest up to £423 million to produce a new-generation EV in the UK. Utilising the Alliance CMF-EV platform, it will be designed for global markets with forecasted production capacity of up to 100,000 units to be installed.

Next-generation EV batteries
Envision AESC already owns and operates Europe’s first battery plant in Sunderland, established in 2012 for the localisation of Nissan LEAF battery production. The factory’s UK team therefore has 9 years’ expertise of supplying batteries to the Nissan LEAF and eNV200, having produced enough cells, modules and packs to power over 180,000 electric vehicles in 44 countries, meeting global benchmark levels of quality, performance, safety, reliability and cost.

Supporting this new model allocation, Envision AESC will invest £450 million (about RM2.62 billion) to build the UK’s first gigafactory on the International Advanced Manufacturing Park, adjacent to the Nissan plant, powered by renewable energy and pioneering next-generation battery technology. This new plant will increase the cost-competitiveness of EV batteries produced in the UK, including through a new Gen5 battery cell with 30% more energy density which improves range and efficiency. It will also make batteries cheaper and EVs more accessible to a growing number of customers in the future.

Nissan LEAF battery pack.

Used battery packs have second life
There are also plans for a 1MW battery storage system using second-life Nissan EV/Envision AESC batteries, which will also allow for excess energy generated during daylight hours to be captured and used at another time, helping to balance demand on the grid.

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Volvo Car Group aims to have assured battery supply with gigafactory joint venture

Just as fuel, whether petrol or diesel, is a necessary component for a car with an internal combustion engine to run, electricity is necessary for a full-electric or hybrid electric vehicle to run. Like the liquid fuels which are stored in containers on board the car, electricity is also stored in a battery pack which can be ‘refuelled’ by recharging the pack.

Since demand for batteries will keep growing – even accelerating as electrification progresses – the bigger carmakers that have the financial resources are finding ways to assure supply in future. Some, like BMW, Mercedes-Benz and Hyundai have set up factories around the world while others are establishing joint ventures for such production facilities.

Lithium-ion battery pack from a current Volvo PHEV model.

Develop sustainable battery production
The Volvo Car Group has announced plans to establish a joint-venture with Swedish battery company Northvolt to develop and produce more sustainable batteries, tailored to power the next generation of fully electric Volvo and Polestar vehicles.

As a first step for the 50:50 joint-venture, the two companies intend to set up a R&D centre in Sweden that will begin operations in 2022. The centre will draw on the battery expertise within both companies and develop next-generation, state-of-the-art battery cells and vehicle integration technologies, specifically developed for Volvo and Polestar models.

New gigafactory to be built
More significantly, the joint-venture will also establish a new gigafactory in Europe with a potential capacity of up to 50 gigawatt hours (GWh) per year, with production scheduled to start in 2026. As part of the plans, Volvo Car Group also looks to source 15 GWh of battery cells per year from the Northvolt Ett battery plant in Skelleftea, Sweden, starting in 2024.

Rendering of the Northvolt Ett battery plant in Sweden when it is completed.

The new gigafactory, planned to be powered by 100% clean energy, is expected to employ around 3,000 people. The location of the new plant is yet to be decided. The first model to use battery cells developed through the joint-venture will be the electric successor to current XC60 SUV.

This development is a vital one for Volvo Cars’ ambitious electrification plans that will see 50% pure electric vehicles by the middle of this decade and, by 2030, only fully electric cars will be sold. Assured supply is therefore crucial to long-term plans and while planners in some countries imagine that policies affecting the auto industry can be introduced within a short period, the industry requires many years to prepare for changes and execute them.

Future Polestar models will also use batteries from the joint-venture factory.

For Polestar, it gives a further boost to its European growth ambitions and underlines its commitment to the ‘Polestar 0’ project, which aims to create a truly climate-neutral vehicle by 2030.

Reduce environmental footprint 
Today, the production of batteries for Volvo Car Group’s fully electric cars represents a large part of the car’s total lifecycle carbon emissions. By working with Northvolt and producing batteries near its manufacturing facilities in Europe, Volvo Car Group can reduce the environmental footprint attributable to battery sourcing and production for its future cars.

Volvo Cars to develop electric motors in-house

Tesla’s Gigafactory woes cause ripple effect

Tesla has caused a bit of a stir in the battery market. Many electronics companies that require supply of cylindrical batteries for their products, are facing a significant supply shortage. This is due in part to Tesla sweeping Panasonic’s entire inventory of such batteries to meet its own demand.

The company’s Gigafactory, which functions as its battery manufacturing facility, has run into production problems and other delays. And as such, it has looked to Panasonic to shore up demand. According to a news article by etnews, it says that it’s almost impossible to source these batteries from within Japan.

Companies all over the globe have rushed to alternative suppliers that include Samsung, SDI, LG Chemicals and Murata for the required material. Demand has been so high that, even these manufacturers aren’t able to cope. The problem may have some serious repercussions for the businesses of various smaller entities, if left unresolved.

This Gigafactory is Tesla’s crown jewel that plays a major role in its parts supply chain as well as having the ability to run on renewable energy. The EV maker is looking to this sate-of-the-art facility to play a pivotal role in the company’s operations.

Source: etnews

Nissan to invest £1 billion in establishing Electric Vehicle (EV) Hub as a world-first EV manufacturing ecosystem

  • 12/07/2021
  • Archive, English
  • Chips Yap

Volvo Car Group aims to have assured battery supply with gigafactory joint venture

  • 22/06/2021
  • Archive, English
  • Chips Yap

Tesla’s Gigafactory woes cause ripple effect

  • 07/12/2017
  • Archive, English
  • Naveen Victor
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