BEIJING, Oct 12 (Businesshala) – Contemporary Amperex Technology Co., Ltd. (300750.SZ) plans to build a battery material recycling facility in the central Chinese province of Hubei with an investment of up to 32 billion yuan ($4.96 billion). The vehicle battery maker said on Tuesday.
The company’s announcement comes at a time when the global demand for electric vehicles has increased, which makes securing battery materials an important task for the industry.
China, the world’s largest car market, has also set standards and policies to promote battery recycling and save materials.
The CATL entity will form a joint venture with Hubei Yihua Chemical Industry Co Ltd (000422.SZ) to recycle used EV batteries for chemicals such as cobalt and lithium, the company said in a filing.
Last month, CATL said it has agreed to acquire Canada’s Millennial Lithium Corp (ML.V), as it seeks to shore up the supply of key materials for EV batteries.
CATL’s list of customers, the leading EV battery maker in China, includes automakers such as Tesla Inc. (TSLA.O) and Volkswagen AG (VOWG_p.DE).
($1 = 6.4526 Chinese Yuan)