Valmet Automotive’s Salo battery plant gets a second customer, plant extension completed
The new customer deal is a significant opening for the Salo battery plant, where production has so far focused on 48-volt batteries. With the new manufacturing agreement, the Salo plant will also start production of high-voltage batteries for the automotive industry. The goal is to start production already this year. Further details of the new contract cannot be disclosed yet.
The Salo plant has been expanded by 3,500 square meters. The construction work began in late 2020, and now the total plant area is 23,500 square meters. Most of the new space will be utilized for logistical needs, but also the production area has been extended. The production line for the new battery model will be partly located in the plant extension area.
- Valmet Automotive is growing very fast in battery business. With the new customer deal for the Salo plant, we have already announced five battery manufacturing contracts in our Finnish operations. This is an integral part of our growth strategy that focuses on EV systems, says Jyrki Nurmi, SVP EV Systems, Valmet Automotive.
The new logistics facilities and production line will be supported by new and industry-leading technologies in the internal logistics. Instead of traditional forklift deliveries, automatic AMR robots will be introduced to the high-voltage battery production line to take care of material replenishments.
The recruitments for the Salo plant are continuing. During the autumn, the additional need is around 250 people. Most will be needed for positions in production, quality and logistics, but the extension of plant operations also requires more supervisors and specialists in various fields. New production personnel will be starting on a weekly basis. The plant currently employs about 500 people.
In total, Valmet Automotive has been nominated for five new customer orders for battery production at its Uusikaupunki and Salo plants since 2019.
The Valmet Automotive Group is one of the largest vehicle contract manufacturers in the world, Tier 1 systems supplier for convertible roof systems and for battery systems. In its strategic development, Valmet Automotive Group focuses on electromobility with the development and manufacturing of battery modules as well as packs for electrified vehicles. The activities in the group are organized in three business lines: Manufacturing, EV Systems and Roof & Kinematic Systems. Since its founding in 1968, Valmet Automotive has produced more than 1.7 million vehicles at the Uusikaupunki, Finland plant. Valmet Automotive operates two battery factories in Salo and Uusikaupunki. A third battery plant in Kirchardt, Germany, will start production in 2022. The company has locations in Finland, Germany and Poland. Valmet Automotive’s largest shareholders are state-owned Finnish investment company Tesi and the Pontos Group, each with a stake of 38.46%. 23.08% is held by the Chinese Contemporary Amperex Technology Limited (CATL), the world leading manufacturer of battery cells for electric vehicles.
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