Samsung SDI to supply Batteries for VW & BMW | 740 Million Euro rapid expansion
Samsung SDI’s expansion of Manufacturing facility in Hungary
The Korean battery maker Samsung SDI is investing about EUR 740 million in the expansion & development of its battery plant in Göd, Hungary, near the capital Budapest.
The investment is projected to raise the annual output from the present 30 GWh to over 40 GWh over the coming years. Clients, including Volkswagen and BMW, will stand to gain from the SDI-sourced battery cells.
The development of this Hungarian facility was done in 2017 and is currently undergoing expansion. Manufacturing at the plant had commenced by 2018. Battery packs for over 50,000 electric vehicles annually have been manufactured at this site since then.
“The company, whose customers include Ford Motor Co and BMW AG, is also considering the construction of another electric car battery factory in Central Europe, although no construction schedule has yet been developed,” said the company spokesperson.
Expansion of this plant seems to be the only hope for Samsung SD to strengthen its place in the European EV market. The development would be financed in part by funds from Hungary ZRT, the Hungarian subsidiary of Samsung SDI, and other loans.
Apart from the increasing production capacity at this site, companies including Samsung SDI and Samsung Electronics, the BMW Group and BASF SE have already sustainable pushed for mining of cobalt.
With a boost in manufacturing capacity, it is projected to raise the annual production output of battery packs for 65000 electric vehicles.