Tesla and battery manufacturer CATL are collaborating on the development of new battery technologies that could lead to faster-charging electric vehicle batteries. CATL, officially known as Contemporary Amperex Technology Co. Ltd., has a significant supply deal with Tesla and also supplies batteries to other major automakers like BMW and Mercedes-Benz Group AG.
Despite the challenges posed by the U.S.-China trade and technology disputes and restrictions on Chinese technology in American-made products, CATL is unable to sell its batteries directly in the United States. However, the company is working with partners through licensing, royalty, and services (LRS) agreements that allow them to license the battery technology for a fee. Last year, Ford announced an agreement with CATL to manufacture battery cells using CATL’s lithium iron phosphate (LFP) technology.
CATL is currently in talks with up to 20 U.S. and European carmakers to potentially form licensing agreements similar to the one with Ford. Additionally, CATL and Tesla are collaborating on new electrochemical technology to develop faster-charging batteries, with a focus on Tesla’s goal of manufacturing a vehicle priced below $25,000. The founder of CATL, Chinese billionaire Robin Zeng, mentioned in an interview with Bloomberg that there is always room for cost reduction in achieving this goal.
In addition to this collaboration, it was confirmed that Tesla plans to open a small battery-manufacturing plant in Nevada using CATL equipment that is not currently in use, with minimal involvement from the Chinese company. This collaboration showcases the importance of partnerships in the rapidly expanding global electric vehicle battery market.
Tesla has been working on improving its electric vehicles’ charging capabilities for some time now. The company’s CEO Elon Musk has stated that they aim to have their vehicles charge from 80% in just 30 minutes by 2024.
To achieve this ambitious goal, Tesla has partnered with several companies including Battery Innovation Group (BIG), which aims to develop new types of batteries that can charge faster than current ones.
Another company that Tesla has partnered with is Solid Energy Limited from New Zealand.
The partnership between these two companies focuses on developing solid-state batteries that can charge much faster than current liquid metal ones.
In conclusion, partnerships are essential for companies operating in the rapidly expanding global electric vehicle market. As such, Tesla’s collaboration with CATL highlights how important it is for companies like these
