Europe’s automotive trade faces one other severe blow with a prime EU producer closing its doorways on certainly one of their electrical automotive factories.
Staff are set to lose their jobs as one other EV manufacturing facility closes its doorways (Picture: Getty)
An electrical automotive manufacturing facility owned by a prime European automotive producer has closed, with dozens of jobs set to be axed. Operations at NOVO Vitality, a battery start-up firm owned by Swedish producer Volvo Automobiles is ready to stop.
In line with NOVO Vitality, Volvo requires an exterior know-how companion to supply batteries for its electrical automobiles on the manufacturing facility. They confirmed that Volvo had carried out an in depth seek for a brand new companion over the previous yr however have to this point didn’t strike a deal. They harassed that NOVO Vitality can now not proceed with its operations till a brand new know-how companion is discovered.
A battery start-up owned by Volvo will stop operations (Picture: Getty)
In line with NOVO, the choice will see the lack of 75 positions within the newest blow to Europe’s automotive manufacturing sector.
NOVO Vitality stated: “In consequence, NOVO Vitality AB right now broadcasts layoffs that have an effect on all positions within the firm. NOVO Vitality has knowledgeable related unions and has given discover to Arbetsförmedlingen, the Swedish labor market authorities, for a complete of 75 positions.
“This determination has not been taken calmly however is important contemplating the present state of affairs. The corporate and its proprietor Volvo Automobiles sincerely thank all staff for his or her efforts in bringing NOVO Vitality to the place it’s now.”
It is the second blow for NOVO workers in current months after the workforce was already in the reduction of within the Spring. In Could, NOVO confirmed it might minimize its workforce by 50% to cut back prices after evaluating the way forward for the enterprise. Over the Spring, the corporate stated that 150 jobs from throughout the enterprise could be misplaced.
NOVO added: “Whereas Volvo Automobiles continues to seek for a brand new know-how companion, it’s at the moment not potential to share additional particulars about when battery manufacturing might begin, or in what organisational construction this would possibly occur.”
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It is the newest blow to the EU’s faltering automotive sector, with a number of firms confirming job losses at first of 2026. Trade journal Automotive Information Europe claimed the sector might anticipate a “wave of redundancies” within the new yr, with predictions proving proper.
The German automotive trade is probably the most affected, with hundreds of jobs set to be minimize within the coming months. In late 2025, motoring provider Bosh confirmed plans to axe 13,000 jobs, whereas ZF Friedrichshafen is ready to chop round 7,600 roles in its EV drivetrain division.
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