Contemporary Amperex Technology Ltd. (CATL) has raised nearly $1 billion to fund new battery plants. China will be making 70 percent of the world’s electric-vehicle batteries by 2021, according to Bloomberg New Energy Finance (BNEF).
China is already the world’s largest car market. They currently sell only a small fraction of vehicles and components globally. “China sees EVs as the way to assert their global dominance in automotive,” says Venkat Viswanathan, an assistant professor of mechanical engineering at Carnegie Mellon, whose work focuses on batteries.
CATL shares rose by the maximum allowed in each of the first three days of trading, giving the Ningde-based company a value of more than $13 billion by the end of trading on June 13.
CATL plans to build two new plants and expand existing facilities, pushing its capacity to nearly 90 gigawatt-hours by 2020. This is up from 17 gigawatt-hours of lithium-ion cells annually today.
China has big subsidies for domestically produced electric vehicles.
China has started to require higher energy density to qualify for subsidies. Battery makers are pushing their technology. There is a fast shift to a new generation of batteries containing more nickel and less cobalt, a metal that is in increasingly short supply.
Brian Wang is a Futurist Thought Leader and a popular Science blogger with 1 million readers per month. His blog Nextbigfuture.com is ranked #1 Science News Blog. It covers many disruptive technology and trends including Space, Robotics, Artificial Intelligence, Medicine, Anti-aging Biotechnology, and Nanotechnology.
Known for identifying cutting edge technologies, he is currently a Co-Founder of a startup and fundraiser for high potential early-stage companies. He is the Head of Research for Allocations for deep technology investments and an Angel Investor at Space Angels.
A frequent speaker at corporations, he has been a TEDx speaker, a Singularity University speaker and guest at numerous interviews for radio and podcasts. He is open to public speaking and advising engagements.