Wednesday, 30 September 2026
Volkswagen is set to become a major investor in Slovakia’s emerging battery industry after its PowerCo subsidiary agreed to acquire a 49% interest in the Gotion battery-cell operation at Šurany. The transaction forms part of a wider agreement linking battery investments in Slovakia and Spain with materials production in Morocco, creating a more integrated supply chain for Volkswagen’s European electric-vehicle operations.
Under the proposed structure, Gotion High-Tech will retain 51% of the Šurany business, while PowerCo will hold the remaining 49%. The companies intend to manufacture lithium iron phosphate cells for electric vehicles as well as stationary energy-storage applications. The transaction remains subject to regulatory approvals and other closing conditions.
The agreement significantly increases the strategic importance of the Šurany development. Gotion and Slovak battery company InoBat established GIB EnergyX Slovakia to develop the project, which occupies approximately 93.9 hectares within Šurany Industrial Park. Official Slovak information puts minimum planned investment at €1.23 billion and expected employment at 1,311 jobs.
Initial production capacity has been planned at 20 GWh annually, with the possibility of eventually reaching 40 GWh. Slovakia has approved investment assistance with a maximum nominal value of €214 million, including support for fixed investment and corporate tax relief. Preparations for the factory formally moved into the construction phase in October 2025.
PowerCo’s participation is part of a broader exchange of investments between Volkswagen and Gotion. PowerCo expects to commit around €470 million by 2030 for 49% holdings in the Šurany operation and a separate project at Kenitra in Morocco. The Moroccan venture, also controlled 51% by Gotion, will manufacture cathode material used in LFP batteries rather than battery cells themselves.
Gotion will meanwhile invest around €1.1 billion for a 49% interest in PowerCo’s battery operation near Valencia in Spain, where PowerCo will remain the controlling shareholder with 51%. Volkswagen intends to develop the Spanish facility as an important European manufacturing centre for its standardised battery cells using LFP chemistry.
The three locations create complementary parts of the same industrial strategy. Šurany and Valencia will provide battery-cell manufacturing, while Kenitra will supply a critical component used in cell production. The companies have also agreed to cooperate on purchasing and sales activities in Europe, extending the relationship beyond ownership of the individual factories.
For Slovakia, the development moves the country further into the upstream part of automotive manufacturing. The economy already has one of Europe’s strongest concentrations of vehicle production, but large-scale battery manufacturing adds another stage of the electric-vehicle supply chain. PowerCo’s involvement also connects Šurany more directly with Volkswagen’s wider European production strategy.
The industrial property implications extend beyond the factory itself. Slovakia is developing extensive road, rail, water, wastewater and energy infrastructure for Šurany Industrial Park, with the site intended to accommodate technologically advanced manufacturing and research activities. The infrastructure programme includes new road connections, railway facilities and additional utility capacity required for large industrial operations.
The Volkswagen-Gotion agreement therefore represents more than a change in ownership at an individual Slovak factory. It links Šurany to a cross-border battery manufacturing system spanning Central Europe, Spain and North Africa. If completed as planned, Volkswagen will gain a substantial direct position in one of Slovakia’s largest new industrial investments while Gotion secures an equally significant role in PowerCo’s Spanish battery operation.
Source: CTK
