The Nikkei reports that Chinese automotive battery maker CATL (Contemporary Amperex Technology Ltd.) will provide lithium-ion batteries to Nissan Motor and Renault.
CATL will produce batteries for Nissan’s Sylphy Zero Emission electric sedan (earlier post), scheduled to hit the Chinese market in the latter half of the year. This marks the company’s first deal with a Japanese automaker.
The Sylphy will be Nissan’s first electric vehicle mass-produced in China. It is expected to offer a driving range of 338 km (210 miles).
Renault plans to use CATL batteries for the electric version of its Kangoo compact van under development. CATL already supplies such European automakers as BMW and Volkswagen and hopes to leverage the Renault deal to further solidify its foothold in Europe, the Nikkei said.
CATL is expected to raise about $2 billion from its initial public offering, which could come as early as summer. The funds are expected to be used to boost output capacity, launching mass production plants in the US and Europe as well.
CATL currently offers a series of Li-ion NCM cells targeted for light duty vehicles: as well as solutions for trucks and buses.
CATL also offers cells designed for electric trucks and buses.
CATL aims to have battery output equivalent to 30 GWh by the end of 2019, raising it to the equivalent of 50 GWh by 2020 from 23 GWh in 2017.