Volkswagen Group has officially launched large-scale battery cell production at its PowerCo SE gigafactory in Salzgitter, Germany a key milestone in Europe’s electric mobility transition. The first “Unified Cells” manufactured entirely in Europe have rolled off the line, strengthening the automaker’s push to control crucial EV technology within its own ecosystem.
The start of production marks the first time Volkswagen will fully design, develop and produce battery cells on the continent at commercial scale. These cells are now set to be delivered to various Volkswagen Group brands for rigorous road testing, with their market debut expected next year in the Electric Urban Car Family from Volkswagen, ŠKODA and SEAT/CUPRA.
Volkswagen CEO Oliver Blume described the Salzgitter opening as a defining moment for both the company and European industry, saying the gigafactory sends “a strong technological signal” and represents a strategic cornerstone for Volkswagen’s evolution into a global automotive technology leader.
At the heart of Salzgitter’s capability is PowerCo’s standardized “Unified Cell” architecture, designed for use across multiple brands and markets around the world. The initial NMC-based cells deliver approximately 10 % higher energy density compared with earlier generations and are optimized for Volkswagen’s new cell-to-pack battery systems, which aim to boost efficiency, range and performance.
The Salzgitter facility begins with an annual capacity target of 20 GWh, roughly enough for batteries in around 250,000 electric vehicles, and can expand to up to 40 GWh. Volkswagen plans to use Salzgitter as the flagship plant, with follow-on gigafactories under development in Valencia, Spain and St. Thomas, Canada, sharing technology and best practices.
Designed to set new benchmarks in sustainable manufacturing, the plant operates on renewable energy and incorporates digitalized production techniques for advanced quality control. Volkswagen leadership says the move toward in-house cell production positions the group for battery independence, scale and competitiveness as EV adoption grows across Europe and global markets.
