Nikola shifts battery manufacturing from California to Coolidge, Arizona
Zero-emission transportation solutions company Nikola Corporation has announced that it is moving its battery manufacturing from Cypress, California to its Coolidge, Arizona manufacturing facility in the US.
It is to be noted that Nikola acquired battery tech firm Romeo Power in August last year, whose manufacturing facility in Cypress became the company's Battery Center of Excellence.
The move, which the company expects to complete by the third quarter of this year, brings Nikola's truck assembly, fuel cell power module assembly, and battery module and pack production under one roof. This also includes battery line automation, geared towards improved quality and efficiency levels.
The company intends to maintain manufacturing operations in Cypress through the end of Q2 2023, while it brings its production capabilities in Coolidge online, and works through a detailed transition plan to prevent manufacturing disruptions.
"This decision reinforces our commitment to finding ways to optimize our cost structure and create a sustainable business model," said Michael Lohscheller, Nikola Corporation President and CEO. "We remain focused on meeting our 2023 milestones, including pack and module production targets."
A battery engineering presence is expected to remain in California at a separate facility to focus on the development of Nikola's next generation battery management system software and modules, according to the company's press statement.