Sustainable mobility: Siemens Mobility to build battery system factory in Bavaria

Highlights:

  • New state-of-the-art production facility for battery systems for rail vehicles
  • Investment of around €35 million to create up to 200 new jobs
  • Clear contribution to the transport transition and competitiveness of the rail industry in Germany and Europe

Siemens Mobility celebrated the groundbreaking ceremony for a new production facility for rail vehicle battery systems in Luhe-Wildenau. On a state-of-the-art facility covering around 20,000 square meters, up to 200 employees will manufacture battery systems for Siemens regional trains, locomotives, and external customers. The project involves a total investment of around €35 million, of which approximately €22 million will be provided by Siemens Mobility. €2.7 million comes as a subsidy from Bavarian funding programs. With this project, Siemens Mobility underscores its commitment to Germany as a production and innovation hub, makes an important contribution to the transport transition, and at the same time delivers on a promise of its “Made for Germany” initiative to drive growth and competitiveness in Germany. Completion of the buildings is scheduled for spring 2027, with series production set to start in October 2027. A particular highlight of the event was the official handover of the funding notice by Bavarian Minister of Economic Affairs Hubert Aiwanger.

“With the new battery system production facility in Luhe-Wildenau, we are making a clear commitment to Germany as a production and innovation hub. We are investing specifically in key technologies, creating high-quality jobs in the region, and strengthening the competitiveness of the domestic rail industry. At the same time, we are making an important contribution to the mobility transition and sending a strong signal for the future viability of Germany as a business location,” said Karl Blaim, CFO of Siemens Mobility.

“This project will drive Bavaria forward, both technologically and economically. The production of state-of-the-art train batteries is a key, future-oriented field that will benefit not only Luhe-Wildenau and the Upper Palatinate, but Bavaria as a whole. Siemens Mobility is developing battery systems here that combine strong acceleration performance with high energy capacity for long-distance travel, so we can look forward to more powerful and efficient trains. At the same time, many high-quality jobs will be created in the region. This project will therefore strengthen our business location in the long term,” said Hubert Aiwanger, Bavarian Minister of State for Economic Affairs.

Battery systems – key technology for decarbonization

Since 2017, Siemens Mobility has been the market leader in battery-electric regional trains and is also planning to build battery-electric locomotives for freight transport. The foundation for this is the key technology of the battery system, which must meet significantly higher requirements for robustness and durability than comparable solutions in the automotive sector. Typical storage capacities are around 500 kilowatt-hours for regional trains and up to 2,000 kilowatt-hours for locomotives. 

In Luhe-Wildenau, Siemens Mobility will in the future produce complete battery systems, including an innovative Battery Management System (BMS), developed together with Munich-based company Stercom. The BMS monitors and controls the battery, ensures safe operation, and maximizes efficiency and service life. The battery cells are sourced from external suppliers such as Toshiba, while system integration is carried out by Siemens Mobility.

Site advantage and investment in the future

Battery system pre-assembly already takes place today in Luhe-Wildenau. Building on this long-standing expertise, Siemens Mobility is now establishing full-scale system production at the site. In the future, the plant will be able to produce up to 120 megawatt-hours of battery capacity per year in three-shift operation.

Siemens Mobility is investing around €22 million in the development of a modular battery family and an innovative battery management system (BMS). Another part of the investment is going into production and automation technologies, including state-of-the-art welding processes. The Free State of Bavaria is supporting the project with €2.7 million from state funding programs. The site was developed in cooperation with regional project developer and construction company Dirnberger Real Estate GmbH and DIMONDA Projektbau GmbH. These companies act as investors and landlords of the site and are responsible for the management and realization of the project.

With the new battery system production facility, Siemens Mobility is not only strengthening Luhe-Wildenau as a future-proof industrial location but also sending a clear signal for the competitiveness and innovative strength of Germany as a business hub.