The world leader in electric vehicle batteries has decided to focus on its international investments, with Europe as its number one priority.
More than a third of the batteries in the world are produced by CATL. Despite competition and heavy investments from rivals like BYD, the Chinese group managed to increase its market share to 36.8% in 2023, up from 36.2% in 2022. Its installed production capacity now stands at 259.7 GWh, a 40.8% increase from 2022 to 2023.
Currently, most of this capacity is in China, but sales outside its country account for nearly a third of its revenue. As China approaches 50% market share for electric and plug-in hybrid vehicles, CATL’s growth prospects now lie mainly elsewhere in the world.
CATL has made international expansion its priority. To convince new customers, production on-site is necessary, and Europe is now at the forefront.
So far, CATL had confirmed two projects in North America, with Ford in Michigan and with Tesla in Nevada. Two more are planned in Asia: Thailand and Indonesia. Out of CATL’s eight international facilities, four are in Europe, including two newly announced ones: a plant in Spain in partnership with Stellantis, and another in Morocco to complement the already confirmed installations in Germany and Hungary.
Another growth opportunity for CATL internationally is also emerging. Instead of making investments themselves, the Chinese company could license production of its technologies to other companies. Several automakers have shown interest, but no agreements have been confirmed yet.
In addition to this focus on internationalization, CATL also aims to expand its charging-related activities: producing charging stations and deploying its own network.