CATL Suddenly Makes an Unexpected Battery Move Toward Tesla Giga Shanghai

CATL reportedly suddenly plans a major battery factory near Tesla Giga Shanghai, aiming to get closer to Tesla for several reasons. (Details at https://www.torquenews.com/14335/giant-battery-factory-being-built-tesla-giga-shanghai)

Tesla battery supplier CATL is in a major expansion. The company currently continues the expansion by planning a major new EV battery plant in Shanghai, two people with knowledge of the matter told Reuters.

If you are wondering why in the world would CATL pick Shanghai for its electric vehicle battery factory, the answer is clear: to get close to its major clients Tesla and VW.

According to some unconfirmed reports, CATL's new plant will be just south of Tesla's Giga Shanghai plant, which implies much of the production of electric car batteries may be for Tesla. We will see... could be for the new $25K Tesla. That much battery output would supply ~1.25M vehicles per year.

Reuters reports that CATL's new battery plant would be able to make 80 gigawatt-hours of battery cells a year, a second person said, which would come on top of 69.1GWh in current production capacity and another 77.5GWh under construction.

"CATL has been in talks with the Shanghai government about building the factory, the people said, adding that the location will also enable the company to draw upon a larger and more diversified talent pool than its headquarters in Ningde in southeastern China," writes Reuters.

CATL, which both supplier of Tesla, as well as Mercedes-Benz, Volkswagen, and Honda, has intimated mid-August 2020 that it is working on a technology that procures electric cars more coverage. It is probably not about the solid-state battery. Because the battery manufacturer indicated that it is still difficult to manufacture a real solid-state battery. Despite years of research.

#CATL
#GigaShanghai
#Tesla

This is Armen Hareyan from Torque News. Please follow us at https://twitter.com/torquenewsauto on Twitter and https://www.torquenews.com/ for daily automotive news.

Reuters https://www.reuters.com/technology/exclusive-tesla-supplier-catl-plans-new-battery-plant-shanghai-sources-2021-06-03/

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