China’s largest battery maker CATL extends agreement with electric vehicle giant Tesla to 2025
- Contemporary Amperex says it has reached an agreement with Tesla’s Shanghai subsidiary to provide battery packs for another 30 months
- No detail on the purchase volume was disclosed but move comes as Tesla’s vehicle orders in China show signs of slowing
Contemporary Amperex Technology (CATL), the Shenzhen-listed electric-car battery maker, said it has reached an agreement with Tesla to provide lithium batteries to the US electric vehicle maker’s China production plants for an additional 30 months.
China’s largest producer of automobile battery packs said in a stock exchange filing on Monday evening that it reached an agreement last Friday with Tesla to provide battery packs for the US electric vehicle’s subsidiary in Shanghai up until December 2025.
This will effectively roll over a previous contract that the battery maker signed last February with Tesla covering a period that would have ended in June 2022, extending its supplier relationship by two years and six months. There was no detail on the exact volume of lithium batteries that will be supplied to Tesla under the new deal.
China International Capital Corp (CICC), the mainland’s largest investment bank, said the agreement would help CATL hone its image as a leading global player in the EV battery sector.