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Did China sabotage Northvolt?

The Swedish battery manufacturer Northvolt, once hailed as a key player in Europe’s push towards green energy and reduced reliance on foreign energy supplies, now finds itself in a dire situation. Reports suggest that the company is facing insurmountable technical challenges with equipment supplied by its Chinese partner, Wuxi Lead, threatening Northvolt’s survival, and many fear that the company may soon collapse, with Chinese interests poised to step in and purchase its assets.

Northvolt was founded in 2016 by former Tesla executive Peter Carlsson with the ambitious goal of establishing a European supply chain for lithium-ion batteries. The company’s Skellefteå gigafactory was seen as a beacon of hope for Europe, aimed at reducing dependence on Asian manufacturers, particularly from China, who currently dominate the global battery market.

You can read more on the matter here.

What’s going on?

• China’s Nuclear Expansion Fuels Surge in Kazakh Uranium Imports (theDeepDive)

• Ban sought for Chinese, Russian software and hardware used in autonomous vehicles on U.S. roads (Globe)

• Elon Musk Bows to Brazilian Court Demands After Weeks of Defiance (theDeepDive)

• Scholz says Germany opposes a Commerzbank takeover (FT)

• Cards Against Humanity Sues SpaceX for $15 Million Over Land Dispute (theDeepDive)

• Public system spent at least $1.5-billion on private nurses last year, study finds (Globe)

• Toronto School Reportedly Misleads Parents About Field Trip, Takes 7th and 8th Graders to Anti-Israel Protest (theDeepDive)

• Israel's military strikes about 800 Hezbollah targets (Reuters)

• Gold, Copper, and Coal: Doug Casey’s Bullish Outlook on ‘Hated’ Resources (theDeepDive)

• Suspect in apparent Trump assassination attempt left note saying he intended to kill former U.S. president (Globe)

• California Rolls Out Digital Driver’s Licenses for Apple and Google Wallets (theDeepDive)

• U.S. billionaire Dan Friedkin agrees to buy EPL soccer club Everton (CNBC)

What’s the latest?

• Intel Options: Apollo Global Management Inc. has proposed a multibillion-dollar investment of up to $5 billion in Intel Corp., offering a vote of confidence in the chipmaker's turnaround strategy. This comes as Intel faces a potential takeover bid from Qualcomm Inc., which would be one of the largest M&A deals in the tech industry. While Intel is weighing Apollo’s offer, Qualcomm's potential acquisition would face significant regulatory and financial hurdles.

• Ozempic Profits: Novo Nordisk's diabetes and obesity drugs, Ozempic and Wegovy, have generated nearly $50 billion in sales, with projections reaching $65 billion by the end of 2023. This figure is set to surpass the $68 billion the company has spent on research and development since the mid-1990s. While Novo Nordisk argues that it has invested over $10 billion developing these drugs and only became profitable in the last two years, critics are questioning the high prices, especially given the relatively low production costs.

• Eurozone: Business activity in the euro zone contracted sharply in September, as a downturn in the manufacturing sector deepened and services activity stagnated. The HCOB euro zone Purchasing Managers' Index fell to 48.9 from 51.0 in August, signaling contraction for the first time since February, and falling below expectations of 50.5.

• China Crackdown: The U.S. Commerce Department has proposed a ban on key Chinese software and hardware in connected vehicles on American roads, citing national security concerns. This move would effectively prohibit most Chinese-made cars from entering the U.S. market and force automakers to remove Chinese components from existing vehicles. The Biden administration has raised alarms about data collection by Chinese companies and the potential for foreign control over vehicles connected to the internet.

• Space Race: SpaceX CEO Elon Musk announced plans to launch approximately five uncrewed Starship missions to Mars over the next two years, aiming for the first crewed mission within four years if these initial flights are successful. Musk clarified that if uncrewed missions encounter challenges, the timeline for crewed missions could be delayed by two years.

Temas Resources' titanium project explained

The stock market and stuff

• Northvolt to cut more than 20% of jobs in battle for survival (FT)

• Uranium Energy Corp To Acquire Rio Tinto’s Wyoming Uranium Assets For $175 Million (theDeepDive)

• Intel Gets Multibillion-Dollar Offer From Apollo (Bloomberg)

• US Treasury market liquidity back to pre-Fed tightening levels, says NY Fed (Reuters)

• U.S. Invests $3 Billion in Battery Manufacturing to Break China’s Hold (theDeepDive)

• Gold Rises to Fresh Record Before Data That May Offer Fed Clues (Bloomberg)

In the juniors

• Gold, Copper, and Coal: Doug Casey’s Bullish Outlook on ‘Hated’ Resources (theDeepDive)

• New Found Gold Intersects 300.36 g/t Gold Over 5.1 Metres (theDeepDive)

• High-Grade Copper Project with $26M in Cash Reserves | Trilogy Metals Inc with Tony Giardini (theDeepDive)

• A Silver All-Time High in 2026! | Dolly Varden Silver Corp with Shawn Khunkhun (theDeepDive)

FULL DISCLOSURE: Rua Gold is a client of Canacom Group, the parent company of The Deep Dive. The author has been compensated to cover Rua Gold on The Deep Dive, with The Deep Dive having full editorial control. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security.