Beijing (PingWest)—China's largest manufacturer of automotive lithium-ion batteries, Contemporary Ampere Technology Co., Ltd. (CATL) announces on Tuesday that it plans to invest up to 29 billion yuan (about $4.5 billion) to expand production capacity.
In a filing with the Shenzhen Stock Exchange, CATL said it will invest up to 12 billion yuan in a production base for automotive and energy-storage batteries in the city of Zhaoqing in South China's Guangdong province.
It will also invest up to 12 billion yuan in the fifth and sixth phases of an automotive-battery production base in the city of Yibin in southwestern Sichuan province.
In addition, a majority-owned subsidiary will invest up to 5 billion yuan in an expansion project of an automotive-battery production line in Xiapu county of Ningde, a city in East China's Fujian province, CATL said.
Governments across China are accelerating the deployment of the new energy vehicle industry (NEV) chain. As a leading enterprise in the EV battery industry, CATL is accelerating its deployment.
According to financial news outlet Yicai, CATL has signed a strategic cooperation framework agreement with the Guangdong Provincial Government. It will build a lithium battery production base in Zhaoqing City and set up a NEV industry chain, which includes batteries, energy storage applications, drive motors, and electronic controls.
The new energy vehicle market continues to heat up, driving the growth of battery sales. Citing sources, Yicai said that the company is working hard to increase production to keep up with demand.