In a significant blow to Sweden’s green energy ambitions, Chinese-owned PTL has scrapped its planned SEK 13 billion investment in a state-of-the-art anode factory in Timrå. The project, which aimed to produce battery anodes for the growing electric vehicle market, would have created 1,900 jobs and positioned PTL as a key supplier to Northvolt, Sweden’s leading battery manufacturer. However, stringent security policy requirements imposed by the Swedish Inspectorate for Strategic Products (ISP) ultimately led to the project’s cancellation.
The ISP’s conditions included restrictions on PTL’s ownership, mandating that the company could not hold a majority stake in the factory. Additionally, the CEO, board chairman, and a majority of board members had to be Swedish citizens. PTL, unable to meet these demands within the required timeframe, appealed to the Swedish government but ultimately decided to withdraw from the venture.
On Thursday, PTL announced the termination of its land contract for the industrial site in Torsboda, effectively ending the project. Dr. Yu Han, PTL’s chief representative in Europe, expressed regret over the decision, stating, “The anode factory in Timrå would have played a key role in a future Swedish battery industry and contributed to the green transition. However, the delays mean that we have to call it a day. The business case for the investment no longer exists.”
Despite the setback, PTL has agreed to assist Torsboda Industrial Park in exploring opportunities to continue the project with another operator. The cancellation underscores the challenges of balancing foreign investment with national security concerns, particularly in strategic industries like battery manufacturing.
