SAIC Motor establishes JV with CATL
2017-05-12 16:36:28 [Print]
On May 3, the Ministry of the People’s Republic of China Anti-monopoly Bureau publicized the Scheme for Joint Venture between SAIC Motor and CATL on its website.
According to the announcement, SAIC Motor Corporation Limited (SAIC Motor) will establish two joint ventures (JV) called Contemporary SAIC Motor Power Battery Co., Ltd. and SAIC Motor Contemporary Power Battery System Co., Ltd. with Contemporary Amperex Technology Co., Limited (CATL) through its wholly-owned subsidiary SAIC Motor Investment Management Co., Ltd.
With registered capital of RMB2 billion, Contemporary SAIC Motor Power Battery Co., Ltd., in which SAIC Motor intends to hold a 49% stake and CATL intends to hold a 51% stake, is mainly engaged in the development, production and sales of lithium-ion batteries and lithium polymer batteries as well as after-sales service.
With registered capital of RMB3 billion, SAIC Motor Contemporary Power Battery System Co., Ltd., in which SAIC Motor intends to hold a 51% stake and CATL intends to hold a 49% stake, is mainly engaged in the development, production and sales of power battery module and system.
In addition, the announcement showed that CATL occupies 20%-25% share in Chinese lithium-ion power storage market and 5-10% share in the Chinese lithium-ion battery system (excluding batteries) market, while SAIC Motor’s share in the Chinese lithium ion battery system (excluding batteries) market and electric vehicle (EV) market is 1%-5% and 1%-5% respectively.
The partnership will speed up SAIC Motor's pace of EV production and makes SAIC Motor more competent to compete with BYD, China's largest electric car maker.
In H1 of 2016, CATL achieved revenue of RMB3.5 billion in power battery business, while its competitor BYD reported revenue of RMB4.5 billion. CATL is the third largest powder battery producer in the world after BYD and Tesla which ranks second and first respectively.
According to the announcement, SAIC Motor Corporation Limited (SAIC Motor) will establish two joint ventures (JV) called Contemporary SAIC Motor Power Battery Co., Ltd. and SAIC Motor Contemporary Power Battery System Co., Ltd. with Contemporary Amperex Technology Co., Limited (CATL) through its wholly-owned subsidiary SAIC Motor Investment Management Co., Ltd.
With registered capital of RMB2 billion, Contemporary SAIC Motor Power Battery Co., Ltd., in which SAIC Motor intends to hold a 49% stake and CATL intends to hold a 51% stake, is mainly engaged in the development, production and sales of lithium-ion batteries and lithium polymer batteries as well as after-sales service.
With registered capital of RMB3 billion, SAIC Motor Contemporary Power Battery System Co., Ltd., in which SAIC Motor intends to hold a 51% stake and CATL intends to hold a 49% stake, is mainly engaged in the development, production and sales of power battery module and system.
In addition, the announcement showed that CATL occupies 20%-25% share in Chinese lithium-ion power storage market and 5-10% share in the Chinese lithium-ion battery system (excluding batteries) market, while SAIC Motor’s share in the Chinese lithium ion battery system (excluding batteries) market and electric vehicle (EV) market is 1%-5% and 1%-5% respectively.
The partnership will speed up SAIC Motor's pace of EV production and makes SAIC Motor more competent to compete with BYD, China's largest electric car maker.
In H1 of 2016, CATL achieved revenue of RMB3.5 billion in power battery business, while its competitor BYD reported revenue of RMB4.5 billion. CATL is the third largest powder battery producer in the world after BYD and Tesla which ranks second and first respectively.
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