In a severe blow to Europe’s industrial aspirations, the Swedish company “North Volt” announced the icon of the electric car batteries industry on the continent, officially bankruptcy after nine years of its founding, announcing debts of $ 5.8 billion, which represents a major setback for European efforts to keep pace with global competition in the race to shift towards clean vehicles. North Volt was known as a project Strategic supported by the European Union and governments such as Germany and Sweden, with the aim of reducing dependence on Chinese and American batteries. The company has obtained huge investments and pledges from car manufacturers such as “Volkswagen”, “BMW” and “Volvo”, but it failed to achieve economic feasibility, due to the overwhelming Chinese competition as companies such as “Catl” and “BYD” dominate the market at low prices and advanced technology. Production and delivery stumbled, as North Volt was late in fulfilling students, which prompted companies such as “BMW” to cancel their contracts. In addition to slowing the European demand in light of the high prices of electric cars and the decline in government support in some countries, which affected the sales of the sector. One of the most prominent bankruptcy repercussions is that Europe loses its strategic weapon and increasingly dependent on China where China provides 80% of batteries The world, and the bankruptcy of “North Volt” deepens this dependency, and that bankruptcy will lead to the threat of jobs, as the company was employing thousands of workers in Sweden and Germany, and its collapse will lead to social losses. Confidence in European projects has declined and investors skeptical about Europe’s ability to build independent supply chains. Despite the difficulties, there may be paths that may restore balance: promoting trade protection by imposing additional fees on Chinese batteries, as America did under the IRA law, integrate American technology and cooperate with companies such as Tesla or General Motors to develop innovative batteries, in addition to reforming industrial policies and increasing financial support for research The development, as China did through its five -year plans. Northfoot bankruptcy is not just a company failure, but rather a warning bell on the dangers of Europe’s delay in the green manufacturing race. If the old continent has not rushed to adopt more intelligent and bolder strategies – through huge technological alliances and investments – it may find itself outside the competition map, not only in front of China, but rather to the United States that progresses with a steady pace in this field. The largest lesson here is that green aspirations are not achieved with wishful In them.
