General Motors Partners with CATL for EV Batteries

In a strategic move to meet the growing demand for electric vehicles (EVs), General Motors Company has announced a partnership with China's Contemporary Amperex Technology Co. Ltd. (CATL) to import EV batteries. This agreement, as reported by The Wall Street Journal, is set to last for approximately two years.

A Temporary Solution with Long-Term Goals

This collaboration serves as an interim solution while GM and its South Korean partner, LG Energy Solution, work on ramping up domestic production of more cost-effective batteries utilizing lithium iron phosphate (LFP) chemistry. According to sources familiar with the plan, GM remains committed to localizing its battery supply chain but requires additional time to operationalize these facilities.

GM's EV Sales Show Remarkable Growth

Highlighting the urgency behind this move, GM recently disclosed a staggering 115% surge in its United States EV sales for July, reaching 19,000 units. This significant growth underscores the automaker's need to secure a reliable and efficient battery supply to sustain its momentum in the EV market.