CATL, the biggest battery cell producer in the globe and one of the most important suppliers for Tesla, is hunting current plant sites in Mexico. CATL aims to supply Tesla and other electric carmakers in the US, from this proposed site.
Contemporary Amperex Technology Co. Limited, abbreviated as CATL, had an interesting beginning. It was just established 10 years ago and has swiftly become the biggest battery cell manufacturer in the globe by providing major firms in the electric revolution.
After Tesla began manufacturing in China at the Gigafactory in Shanghai, CATL became a provider to Tesla and supported the carmaker in turning the Gigafactory in Shanghai into the globe’s biggest electric car plant.
Now it might provide Tesla through current plants worldwide, including one in Mexico, based on the latest report from Bloomberg:
“China’s Contemporary Amperex Technology Co. Ltd., the world’s biggest maker of batteries for electric vehicles, is considering at least two locations in Mexico for a manufacturing plant to potentially supply Tesla Inc. and Ford Motor Co.”
According to the report, CATL is taking into consideration two sites close to the US boundary and a notable $5 billion in funding.
“The battery manufacturer is considering Ciudad Juarez, in the state of Chihuahua, and Saltillo, in Coahuila, according to people familiar with the deliberations. Both are near the Texas border. The company is contemplating an investment of as much as $5 billion in the project,” said the people, who asked not to be identified, while discussing private information.
Those sites, particularly the one in Ciudad Juarez, would put the plant near the Gigafactory of Tesla in Texas, which is anticipated to be one of the biggest EV plants worldwide, once it starts manufacturing with 100% capacity.
With $5 billion in funding, the plant would be a remarkable battery plant, with a manufacturing range in the high two-digit GWh to low three-digit GWh of battery cells yearly.
CATL was considering sites in the US for the latest plant, as documented earlier this year. The firm recently controls the market in China, which has been top in electrification, with many start-ups having grown into key carmakers. The organization is currently focusing on Europe, and, according to the report, North America will be the next.
CHINESE TESLA SUPPLIER CATL TO BUILD $5 BILLION BATTERY PLANT IN MEXICO NEAR U.S-MEXICO BORDER
— FXHedge (@Fxhedgers) July 18, 2022
