Chinese electric vehicle giant CATL and automaker Beijing Hyundai solidified their partnership with a new agreement for power batteries.
Strategic partnership
According to the press release, CATL and the BAIC Motor–Hyundai joint venture formally inked a strategic partnership agreement at the 2024 Beijing Auto Show.
CATL and Beijing Hyundai aim to collaborate on electric vehicle batteries for the latter’s upcoming models. The new deal will pave the way for more than ten electric vehicle models powered by CATL’s innovative battery technology.
The Chinese battery giant committed to leveraging its expertise and knowledge to aid Beijing Hyundai’s further advancement in the local market.
Brief background
Beijing Hyundai has competed in the highly competitive automotive market in China for 21 years. It has sold more than 12 million vehicles in the country, demonstrating its prevalence among local customers.
It formed a partnership with CATL way back in 2017. Since then, the Chinese automaker has rolled out numerous popular vehicle models, with total sales topping the 200,000 unit threshold.
In October 2021, CATL also partnered with Hyundai Mobis Co., Ltd. (MOBIS) for the CTP (cell to pack) technology licensing. CATL is also committed to supplying related CTP products for the South Korean company’s global operation.
Competition
Beijing Hyundai and CATL’s partnership is crucial for both of them to remain competitive against BYD.
BYD has been leading the electric vehicle market in China owing to its cutting-edge yet affordable models. In addition, its innovative BYD Blade Battery has also been proving popular in the market.
The newly signed agreement demonstrates Beijing Hyundai and CATL’s strong dedication to continuously succeed in the rapidly growing market amid the industrywide price war and other challenges.
