11 investments that are shaping Gothenburg’s business environment

View of Gothenburg

Gothenburg and West Sweden are seeing many big investments in infrastructure, facilities and innovation environments. These are helping ensure that the region remains a thriving hub for business and innovation – long into the future. Here is a sample of some of the investments taking place.

The Port of Gothenburg’s fairway deepening project

Gothenburg is home to Scandinavia’s largest port, which handles 20% of all Swedish foreign trade. A SEK 2.8 billion project is currently underway, since April 2024, to deepen the fairway by 4 metres. This will allow the largest deep-sea cargo vessels to enter the port fully loaded. It will further strengthen Gothenburg and Sweden’s transport conditions and connections to the rest of the world. The project will be completed by the turn of the year 2027-2028. 

Read more: Fairway deepening project is underway

 

Gothenburg’s gigafactory

Northvolt and Volvo Cars’ new joint gigafactory will employ around 2,500 people and produce batteries for up to half a million Volvo cars. It will be powered by 100% fossil-free energy. Construction is underway and it should be operational in 2026. 

“Novo Energy’s gigafactory will be a landmark for the green transition. It combines everything – important technology, modern industry and thousands of jobs with good conditions. This makes Gothenburg better,” said Jonas Attenius, the Mayor of Gothenburg, when the project broke ground.

Read more: Start of concruction for West Sweden's first gigafactory

 

The expanding life science hub in Mölndal

In the space of a few short years, GoCo Health Innovation City has sprung up and strengthened the region’s life science sector. The new district is gathering local companies and organisations, and attracting new ones to the region. It is expanding quickly, and Mölnlycke Healthcare’s new global HQ and GoCo Active Lab - the base for a new national centre focusing on the development and production of advanced medicines and treatments - are two of the buildings currently under construction. The vision is a world-class life science district with 350 companies and 7,000 people, where collaboration is built into the core.

Read more: Taking Gothenburg's collaborative spirit in life science to new heights

 

Polestar’s new global headquarters

Premium electric car brand Polestar is moving its global headquarters and design centre into central Gothenburg. The company will move into a newly built 80,000 sqm facility, which is scheduled for completion in 2028. It will have space for around 1500 employees.

Read more: Polestar chooses central Gothenburg for future HQ

Näst Innovation Destination Torslanda
Illustration: Näst Innovation Destination Torslanda

Mobility innovation neighbourhood

A new innovation neighbourhood "Näst Innovation Destination Torslanda" is being developed at Volvo Cars’ campus in Gothenburg. The intention is to develop the area by 200,000-300,000 sqm, with facilities specifically designed for innovators within the mobility sector. Focus areas include materials, energy, software and mobility. Volvo Cars is the driving force behind this collaborative venture, together with real estate companies Next Step Group and Vectura Fastigheter, supported by the City of Gothenburg. 

Read more: Gothenburg goes big on future mobility 

 

Volvo Cars Torslanda plant – megacasting, a new battery assembly plant and more

Volvo Cars is introducing a number of new and more sustainable technologies and manufacturing processes at its Torslanda plant in Gothenburg. These include the introduction of mega casting of aluminium body parts, a new battery assembly plant (located beside Novo Energy’s gigafactory) and fully refurbished paint and final assembly shops. The upgrade is well underway. It represents a SEK 10 billion (approx. EUR 1 billion) investment.

 

Uni 3 by Geely

Geely’s innovation campus has developed into a hub for tech and mobility with around 100 companies located there. Zeekr Technology, EcarX, Lynk & Co all operate important sites there. When the sixth building is complete, which will be very soon, the campus will be a workplace for 4,000 people. The campus has further strengthened the Lindholmen innovation district, one of Sweden’s top innovation environments.

Read more: Geely-Balder joint venture to expand Gothenburg innovation campus

GKN Aerospace
Photo: GKN Aerospace

GKN Aerospace’s new additive production centre

Global aerospace company GKN Aerospace is investing GBP 50 million, approximately SEK 650 million, in an additive production centre in Trollhättan, 75 km north of Gothenburg, to scale-up its groundbreaking technology. The investment will create 150 jobs for highly skilled engineers and operators. At the same time it will significantly reduce raw material waste, energy use and shipping within production.

Read more: Aerospace innovator chooses West Sweden for new additive production site

 

Mariestad battery plant

The Volvo Group is also building a large-scale battery production plant in Mariestad, about 180 km north-east of Gothenburg. Production is expected to begin in 2028 and ramp-up to full-scale production during 2029. The operation is expected to employ around 3,000 people. Batteries produced at the plant (up to 300,000 tons per year) will be used across Volvo Group product categories, including trucks, buses, construction equipment, marine and industrial applications. The company’s battery related R&D activities are located in Gothenburg. 

Read more: Mariestad battery plant 

Volvo's battery plant, together with Novo Energy's battery plant will be a driving force for Gothenburg and Sweden's fast-growing battery industry. 

Read more: Gothenburg's battery industry

 

Large-scale investments in renewable fuels

Preem is repurposing its refinery in Lysekil, just north of Gothenburg, a EUR 500 million investment. When complete, it will provide 1.2 million cubic meters of renewable production capacity, while fossil fuel production capacity will be reduced by the same amount.

Read more: Preem invests in renewable fuels production

ST1 and forestry firm SCA also recently opened a joint biorefinery in Gothenburg, with an annual production of around 200,000 tons of renewable fuel. Around SEK 2.5 billion has been invested. SCA will supply tall (pine) oil to the joint venture and has also bought a 50% share in the biorefinery.

Read more: ST1 and SCA joint venture commences the production of renewable fuels in Gothenburg

 

Plans for new offshore wind farms

OX2 and Ingka Investments are developing an offshore wind farm outside of Varberg, just south of Gothenburg. The expected production is 1.6-1.7 TWh, which is equivalent to the electricity consumption of around 320,000-400,000 households. The aim is to start construction in 2026 and deliver the first electricity to the grid in 2028/29.

Eolus is looking to build an offshore wind farm, Västvind, off the coast of Kungälv and Öckerö that could provide an additional 4-4.5 TWh to the region’s electricity grid. Construction is planned to start in 2027 and be completed in 2029. 

Freja Offshore has plans to establish an offshore wind farm known as Mareld, around 40 km west of Lysekil, just north of Gothenburg. The estimated production capacity is 9-12 TWh per year, which is equivalent to half of the county’s electricity consumption. The project is yet to be approved by the Swedish government.

Vattenfall together with Zephyr have plans for two large-scale projects – Vidar and Poseidon - also off the Swedish west coast. Once fully developed they are expected to have a combined capacity of 2.8 GW and an annual production of 10.5 TWh. Both projects aim to be operational in early 2030.