Valmet Automotive and Jeti Industries have signed a preliminary agreement to explore serial production of modular electric buses at Valmet Automotive’s plant in Uusikaupunki, Finland.
This would mark the first instance of electric buses for city and regional transport being produced in the Nordic countries within a modern automotive plant under a contract manufacturing model.
Valmet Automotive will contribute its experience in vehicle manufacturing and established production processes, while Jeti Industries aims to expand its electric bus production to meet growing demand. The collaboration is intended to support a structured production start-up and volume ramp-up, and respond to increasing EU requirements for supply chain transparency and safety standards.
In September 2025, Valmet Automotive announced a strategy to offer its industrial serial production capabilities to other sectors in addition to car manufacturing. Producing electric buses aligns with this strategy, utilising the company’s experience in electrification, production infrastructure, and quality management systems.
Pasi Rannus, CEO of Valmet Automotive, said:This preliminary agreement is another concrete step in advancing our strategy of expanding into new industries. Given our history in car manufacturing, producing zero-emission electric buses for next-generation mobility is a logical step for us and a continuation of our long-standing expertise in manufacturing electric vehicles. Jeti Industries has developed an excellent product innovation with an existing, international market. We are excited to participate in the development of novel mobility solutions and to enable the serial production of a Finnish high-tech product.
Jeti Industries designs electric buses for public transport with a focus on usability, reliability, and life cycle costs. Its buses incorporate domestic and European components and are supported by partnerships with European technology providers. The modular design allows different model variants to be assembled for a range of public transport applications, facilitating serial production in Europe.
Production at Uusikaupunki is expected to use a significant proportion of domestic components and local labour. Finnish subcontractors would also participate in assembly and related production activities. Jeti’s buses are type-approved for EU operation and have undergone real-world pilot testing, with the first unit entering service in 2020.
Niko Andersson, CEO of Jeti Industries, said:The electrification of European bus transport is progressing very rapidly, and there is a clear need in the market for electric buses manufactured in Europe. We have been developing our modular product concept with a long-term perspective, and our innovative technical solutions make our products highly price-competitive in this growing market. Valmet Automotive’s long-term experience in serial manufacturing of a wide range of complex vehicles enables us to scale production quickly and reliably. This collaboration is also supported by our shared commitment to sustainability and environmental values.
Negotiations on the final agreements are ongoing.
