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China’s CATL boosts Volkswagen partnership for cost-effective batteries

CATL has announced a partnership with Volkswagen on EV batteries, new materials, and auto parts amid growing competition in China’s EV market. The Chinese company said it has signed an MOU with Volkswagen to boost its partnership in EV battery R&D along with new material applications and the development of auto parts. Volkswagen China separately […]

CATL has announced a partnership with Volkswagen on EV batteries, new materials, and auto parts amid growing competition in China’s EV market.

The Chinese company said it has signed an MOU with Volkswagen to boost its partnership in EV battery R&D along with new material applications and the development of auto parts.

Volkswagen China separately stated it will collaborate with CATL to develop cost-effective batteries and explore recycling and swapping.

“By deepening cooperation with CATL, we will create high-performance, cost-effective battery solutions. Our core task is building a strong local supply system,” said Alfonso Sancha, Executive Vice President, Volkswagen Group China. “This is also a crucial part of the Group’s In China, For China strategy.”

Volkswagen has also partnered with Chinese EV maker XPeng to build thousands of charging stations in over 400 Chinese cities.

In June 2024, CATL’s cell test lab received Volkswagen Group’s certification for lithium-ion battery cell testing.

Volkswagen Group’s vehicle deliveries in China fell 10% in 2024 to 2.9 million.