The Chinese battery cell manufacturer CATL will begin construction of their planned battery cell factory in Germany next year, according to Europe boss Matthias Zentgraf. The production start for the battery cells is estimated for 2022.
CATL has begun making moves to secure storage area near Erfurt, as well as making arrangements for the quality assurance division and prototype development. As a part of the construction, CATL is also banking on making arrangements with local suppliers. Zentgraf estimates that around 600 jobs would be created locally due to suppliers, in addition to the factory jobs.
The factory construction was confirmed in early July, when it was also announced that the factory would be producing about 14 GWh per year. Germany had been chosen as a location due to the proximity to suppliers and customers, mainly German automobile manufacturers. BMW, Daimler and Volkswagen were specifically named. Shortly before CATL confirmed the location, BMW announced a billon euro contract with the battery cell manufacturers. Furthermore, through the joint venture with Brilliance, BMW will indirectly own parts of CATL.