According to foreign media reports, the Polish state agency ARP recently confirmed that LG Chemical will open the largest electric vehicle battery factory in Europe this year in Poland. The plant will employ 2,500 people to produce enough batteries for 100,000 battery packs, which means the battery plant will have several gigawatt hours per year.

According to ARP, LG Chem plans to invest 5.9 billion zlotys ($1.63 billion) for a new plant near Wroclaw. Wrocław is 190 km (118 miles) from the German border, and Germany is the headquarters of the Volkswagen Group. The Volkswagen Group plans to invest more than 20 billion euros ($24 billion) in zero-emission vehicles by 2030, and will have an annual production capacity of 3 million electric vehicles by 2025.

At present, there are many car manufacturers in Europe who are willing to buy batteries from LG’s new factory, including leading brands such as Jaguar, Volkswagen Group, Renault-Nissan and Daimler. The expected demand for electric vehicle batteries (especially in Europe) indicates that the status of the new factory in Europe at LG Chem will not last long, if the battery project of NorthVolt in Sweden is adequately funded and production can be as scheduled In progress, the battery plant’s annual production capacity will reach 32 GWh by 2023.

When asked about the source of lithium and other raw materials, a representative of the local branch of LG Chem said that it would first import raw materials from the Korean parent company and then hope to buy it from Polish suppliers. According to Chang-Beom Kang, vice president of LG Chem, the company chose Poland as the most competitive production location to meet the needs of European and global automakers.