FUZHOU, Sept. 16 (Xinhua) -- Contemporary Amperex Technology Co., Ltd. (CATL), China's largest automotive lithium-ion battery maker, announced on Thursday a framework agreement with German chemical giant BASF on battery materials solutions, including cathode active materials (CAM) and battery recycling.
Aimed at developing a sustainable battery value chain to support CATL's localization in Europe, the collaboration will support both companies' commitment to global carbon neutrality.
Through its partnership with BASF, the largest chemical supplier to the automotive industry, the Chinese battery giant aims to improve its European service capabilities by developing a localized battery recycling network and a secure raw-material supply chain in the region.
The Chinese company broke ground on a manufacturing facility in the German state of Thuringia in 2019. The project is expected to start operations by the end of this year to provide automotive batteries for the soaring new-energy vehicles market in Europe.
"The partnership with BASF is another important step for our localization journey in Europe," said Zhou Jia, president of CATL. "With CATL's innovative battery technology and BASF's deep materials expertise, we will further enhance our capability to support our worldwide customers and accelerate the global drive towards carbon neutrality."
Pairing BASF's strong position as a leading supplier for cathode active materials with CATL's expertise in lithium-ion batteries will speed up innovation and the formation of a sustainable battery value chain worldwide, said Markus Kamieth, a member of BASF's board of executive directors.
Headquartered in Ningde, in east China's Fujian Province, CATL posted net profit growth of 131.45 percent in the first half of 2021 amid a booming new-energy vehicle (NEV) market.