ABB and Northvolt will share products and services involved in the project and collaborate on developing battery solutions and research and development (R&D).
Northvolt plans to build a lithium-ion battery factory in Sweden, with a demo prodution line ready by 2019 before full production begins the following year.
It will supply customers in the automative and key industries, Northvolt said.
In March, Vattenfall — which owns the Pen y Cymoedd wind/solar/battery project in south Wales — invested SEK 5 million (€0.53 million) in Northvolt to build the factory.
Northvolt said the ability to store energy was "crucial to free the world’s energy generation and distribution from fossil fuels in a phased manner".
"The world is moving quickly towards electrification," CEO Peter Carlsson explained.
"We want to enable this transition by building the largest, cutting-edge lithium-ion battery factory on the European continent and producing the world’s greenest batteries."
ABB plan to supply a fully integrated robotics, automation and electrification system for the factory. Both partners will work together to develop battery technology in production platform, cell and module design, and battery performance.
"We are excited to support Northvolt’s project to build the battery factory of the future here in one of our home countries", said Ulrich Spiesshofer, CEO of ABB.
"This uniquely integrated factory would be a true showcase for ABB’s leadership in industrial automation and smart electrification and would help to meet the ever-increasing demand for smarter, greener storage solutions."
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