Energy Metal News

News and Information

Chinese battery giant CATL looks to set up R&D centres in Hong Kong to underpin technology exports

March 5, 2024 By News Team

Chinese battery giant CATL is in discussions to set up research and development centres in Hong Kong to create new technologies that can be licensed abroad and within the industry, its chairman told reporters on Monday.

The potential R&D expansion in Hong Kong aligns with CATL’s (300750.SZ), opens new tab strategy to place greater emphasis on exporting battery technologies, not just batteries, as Chinese electric vehicles (EVs) and batteries face intensifying scrutiny from foreign governments.

Chairman Robin Zeng, who founded the world’s largest battery maker, made the comments ahead of a meeting of China’s parliament, the National People’s Congress. He is a member of the Chinese People’s Political Consultative Conference (CPPCC), a top advisory body of experts, business leaders and representatives from other political parties, which held its opening meeting of the annual gathering on Monday.

Some of CATL’s licensing attempts abroad have encountered roadblocks. Ford (F.N), opens new tab last year announced plans to invest $3.5 billion to build an EV battery plant in Michigan with help from CATL’s technology, but the deal has drawn the ire of some U.S. lawmakers.

Meanwhile, concerns about China’s clout in the EV battery supply chain have extended to the country’s rising status as a vehicle exporter. Exports have been a driving force for growth for automakers in China as demand at home weakens.
The European Commission last year launched a probe into China’s EV subsidies.
When asked about European concerns over Chinese overcapacity, Zeng said Europe does not have enough “higher-quality” products yet.
The EU probe does not worry Zeng, who said the EV industry has received “regular support from the government” as China pursues its carbon neutrality goals.
While the European market has seen a slight slowdown, with electric vehicle batteries considered too expensive, more battery plant investments there will enable further growth, Zeng said.
He believes Germany will “catch up very quickly” in electrification and could be asking China for more EVs in a few years.

Nothing in this publication should be considered as personalized financial advice. We are not licensed under securities laws to address your particular financial situation. No communication by our employees to you should be deemed as personalized financial advice. Please consult a licensed financial advisor before making any investment decision. This is a paid advertisement and is neither an offer nor recommendation to buy or sell any security. We hold no investment licenses and are thus neither licensed nor qualified to provide investment advice. The content in this report or email is not provided to any individual with a view toward their individual circumstances. EnergyMetalNews.com is a wholly-owned subsidiary of Market IQ Media Group, Inc.

While all information is believed to be reliable, it is not guaranteed by us to be accurate. Individuals should assume that all information contained in our newsletter is not trustworthy unless verified by their own independent research. Also, because events and circumstances frequently do not occur as expected, there will likely be differences between any predictions and actual results. Always consult a licensed investment professional before making any investment decision. Be extremely careful, investing in securities carries a high degree of risk; you may likely lose some or all of the investment.

error: Content is protected !!