The company and its assets will be sold after it filed for bankruptcy in Sweden, sinking Europe’s best hope for competing against Asian rivals.

Northvolt, the Swedish maker of battery cells for electric vehicles, said on Wednesday it has filed for bankruptcy in Sweden, bringing to an end Europe's best hope of developing a rival to major Asian EV battery players.

Rising capital costs, lower demand and geopolitical instability with subsequent supply-chain disruptions all added to the challenge of securing a path forward.