Quebec wants court to declare branch of Swedish battery developer Northvolt insolvent

The Quebec government wants a judge to declare insolvent the North American branch of Swedish battery manufacturer Northvolt.

Quebec filed the court application in an attempt to recoup some of the province’s losses on a failed electric-vehicle battery project.

The province says Northvolt Batteries North America owes more than $260 million on a government loan that allowed the company to buy land near Montreal to build a $7-billion battery plant.

The government wants to withdraw nearly $200 million from frozen accounts belonging to Northvolt to pay down the debt, and wants the court to authorize a process for the sale or repossession of the land.

Trending Now

Quebec Economy Minister Christine Fréchette announced Tuesday that the government was pulling the plug on the project.

Court documents filed by the province detail how the relationship between Northvolt and the government deteriorated in recent months.

This report by The Canadian Press was first published Sept. 3, 2025.