Tax & Spend

Germany Grants €700 Million for Northvolt Despite Budget Freeze

  • Economy Ministry secured exemption as project was in jeopardy
  • ‘This is only a first step’, Vice Chancellor Habeck says
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Germany will pay out €700 million ($762 million) to ensure a battery plant gets built after officials won an exemption from the government’s spending freeze.

The commitment for a Northvolt AB factory is the first granted for a project planned under a special fund for climate transition since a court ruling blocked the financing of that off-budget vehicle.