Volkswagen Gaet CATL Creates New Generation EV Battery

The collaboration between CATL and Volkswagen in China. (Photo: ArenaEV)

JAKARTA - Although sales continue to show a decline, German auto giant Volkswagen is still curious about the electric vehicle market in China, especially since Volkswagen has been the leader of the vehicle sales market in China for several years.

This time, citing the ArenaEV page, Monday, February 24, Volkswagen took a strategic step by collaborating with CATL, which is the largest battery producer in the world.

The memorandum of understanding signed between CATL and Volkswagen Group (China) Technology Co., Ltd., states that the two companies will work together to create a 'cost-effective battery', an important factor in making electric vehicles more accessible to consumers.

Under the agreement, the two companies will develop battery exchange technology, which will allow drivers to quickly exchange depleted batteries for fully charged batteries.

Not only that, both of them will also discuss battery recycling which is an important step to create a circular economy, and be sustainable for electric vehicle batteries.

"This new initiative is an important part of the company's strategy in China, and the agreement also includes cooperation in the transparency of the supply of raw materials and vehicle-to-grid (V2G) technology," said Volkswagen China Group Executive Vice President Alfonso Sancha.

As is known, CATL is a leading battery supplier in the world, and plays an important role in the electric vehicle industry. Its customer base includes major automakers such as Tesla, BMW, Nio, Xpeng, Geely, and Mercedes-Benz, in addition to Volkswagen.

In 2024, CATL's battery capacity in China will grow by 47.2 percent to 246 GWh, making it a market share of 45.5 percent.