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The "keen interest" of international automakers, according to a Chinese EV battery company

Gotion High-Tech, the eighth-largest manufacturer of electric vehicle (EV) batteries in the world and the fourth-largest in China, said that it is in preliminary conversations regarding supply deals with a number of foreign automakers, which might hasten its expansion in markets like North America and Europe.
The company, which is partially owned by Volkswagen, is adamant about building more factories outside of mainland China, and Ray Chen, a Gotion vice-president who oversees the company's international operations, claims that the company expects international sales to make up “a considerable share” of its total revenue starting in 2025.
Hefei, the capital of the East Chinese province of Anhui, is where the firm is headquartered. He told the Post there that “We will expand our footprint abroad, banking on our technological clout and the trust our clients place in us.”We predict that Gotion's activities outside of China will expand quickly after our manufacturing lines are completed in 2025.
Chen refused to identify the automakers since the negotiations are still in their early stages, but he highlighted that several well-known manufacturers have showed a great interest in adopting Gotion's battery cells to power their electric cars.
In a media briefing, Gotion's founder and chairman Li Zhen stated that the company's primary strategy going forward would be to go global as electrification spreads throughout the global automotive industry. This prompted his remarks.
Four important markets will provide opportunities: China, Southeast Asia, North America, and Europe. Gotion intends to seek growth in the remaining three markets.
China, the world's biggest EV market, reported sales of 6.5 million EVs in 2022, or 60% of the total worldwide. According to Li, the fast expanding EV adoption in the other three markets would ultimately cause China's market share to fall to roughly 25%.
Following a 10-9 vote by the state's Senate Appropriations Committee at the beginning of this month, Gotion was given permission to build a $175 million plant in the US state of Michigan.
According to Chen, the corporation is moving closer to beginning the facility's development.
Geopolitical difficulties won't stop China's EV manufacturers and battery producers from entering overseas markets since their goods and technology perform better than those of their rivals on a global scale, said Gao Shen, an independent expert in Shanghai. “Gotion and other Chinese electric vehicle (EV) battery companies will keep investing outside of China.”
In terms of market share in 2022, six Chinese battery producers, including Gotion, entered the list of the top 10. 76% of the world's capacity to produce EV batteries is located in China.
Gotion installed 14.1 GWh (gigawatt hours) of batteries last year, claiming a 2.7% worldwide share, falling short of CATL's 37%, BYD's 13.6%, and CALB's 3.9%, according to South Korean-based SNE Research.
Gotion predicted that its international sales will rise by 465% to 2.98 billion yuan (US$431 million) in 2022 in its quarterly release for Thursday.
It reported sales of 23 billion yuan, up 122.6%, and a net profit of 312 million yuan, up 206.2%.
Ford Motors said in February that it will collaborate with CATL to invest US$3.5 billion in the construction of an EV battery facility in Michigan. In contrast to other collaborations, Ford will wholly control the factory and use a licence from CATL to manufacture the affordable lithium ferrous phosphate battery.

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