BAIC, CATL & Xiaomi to build battery cell factory in Beijing
BAIC is joining forces with CATL and Xiaomi Auto to build a battery cell plant in Beijing. The three companies are setting up a joint venture called Beijing Era New Energy Technology, which will have capital totalling one billion yuan (138 million US dollars). CATL will hold a majority stake of 51 per cent, BAIC 39 per cent and Xiaomi Auto will maintain five per cent. No details have been announced about the planned production capacity yet, nor regarding the type of cells to be manufactured or the planned construction and production schedule.
In 2022, there had already been reports about Xiaomi planning a partnership with BAIC, however instead of batteries, the two companies were considering the production of electric cars.
BAIC has been active in the area of collaborations lately, having announced plans for a jointly operated EV brand with Hyundai at the end of January, after initially considering joint production plans. There is also a production deal with Mercedes for vehicles to be sold on the Chinese market.
This is also not CATL’s first battery factory in Beijing, as plans for another plant were revealed in January of this year. Construction is to start before the year is out, and at the time of announcement, it was already clear that Xiaomi was to use some of the batteries produced there for its Xiaomi SU7, which was just presented at the start of this year. Initially, the vehicle was to release in 2024, however, the time table was adjusted.
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