The future of battery manufacturer Northvolt's planned factory in northern Germany has been cast into doubt after the Swedish company filed for bankruptcy on Wednesday. Operations for Northvolt's German subsidiary are to continue,

The manufacturer of car traction batteries Northvolt has filed for insolvency in Sweden. The German and American subsidiaries are not affected.

Northvolt, the Swedish battery cell maker for electric vehicles, said on Wednesday it had filed for bankruptcy in Sweden, one of the country's largest and ending Europe's best hope of developing a rival to major Asian EV battery players.

Northvolt has experienced a series of compounding challenges in recent months that eroded its financial position, including rising capital costs, geopolitical instability, subsequent supply chain disruptions,

Northvolt has declared bankruptcy in Sweden, but says its North American operations are solvent. The company is building a large battery factory on Montreal's South Shore.

Swedish battery-maker Northvolt filed for bankruptcy in Sweden on Wednesday, marking the final unraveling of a company once seen as Europe’s standard bearer for the sector. Facing a cash crunch in November,