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Business trends

China's CATL to scale up EV battery production in Germany

Company expects electric vehicle demand to rise on tougher emissions rules

A CATL plant in China: The EV battery maker plans to ramp up production capacity in Germany ahead of tighter rules on vehicle emissions. (Photo courtesy CATL)

HAMBURG -- Chinese battery maker Contemporary Amperex Technology Ltd. plans to ramp up output in Germany where a lack of local producers has left automakers dependent on Asian suppliers for batteries.

CATL is building a 240 million euro ($270 million) lithium-ion battery factory near Erfurt, eastern Germany, slated to begin production in 2021 with an initial capacity of 14 gigawatt hours per year. The company recently indicated that capacity will be expanded to 60 GWh by 2026, and that demand in Germany could reach 100 GWh even sooner.

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