Northvolt has declared bankruptcy in Sweden, but says its North American operations are solvent. The company is building a large battery factory on Montreal's South Shore.

Northvolt’s fortunes took a more decisive turn when BMW canceled a $2 billion contract in June 2024. The battery manufacturer had been unable to deliver on time. To conserve cash, it laid off 1,600 employees and sold the assets of its Cuberg division, a Bay Area solid-state battery startup it acquired in 2021.

On Tuesday evening, reports spread quickly that battery manufacturer Northvolt may be nearing bankruptcy, with Dagens Nyheter being the first to report it. Two independent sources told DN that Northvolt plans to file for bankruptcy on Wednesday if it fails to secure new capital on Tuesday.