CATL will launch batteries with a lifespan of up to 2 million kilometers.

According to Bloomberg, Zeng Yuguang, Chairman of China's battery manufacturer CATL, stated in an interview that the company is preparing to produce batteries capable of sustainable operation for 16 years—enabling electric vehicles to travel up to 2 million kilometers. Currently, according to data from BloombergNEF, the typical warranty period for EV batteries is around 150,000 miles or 8 years. Thus, CATL's new battery would represent a groundbreaking milestone.
Zeng Yuqun pointed out: "If someone places an order, we'll be ready to start production." However, he did not disclose whether any relevant contracts have already been signed. It is understood that the new batteries will cost approximately 10% more. Bloomberg reported that CATL anticipates a swift recovery in growth for the electric vehicle industry, prompting the company to invest heavily in R&D for battery technology. According to Zeng Yuqun's forecast, around 2030–2035, electric vehicles are expected to surpass gasoline-powered cars—marking a "tipping point" for the EV market—earlier than previously predicted by researchers at organizations like BloombergNEF.

Zeng Yuqun stated that while the outbreak of COVID-19 will significantly drag down this year's overall sales, demand for electric vehicles is expected to rebound in early 2021. The pent-up consumer appetite for car purchases during the pandemic will begin to surface next year, particularly for luxury models. Zeng Yuqun added, "Although COVID-19 may have a lasting impact in 2020, its influence on next year won't be substantial. We remain confident in our long-term growth trajectory."
After several months of negotiations, CATL and Tesla signed a two-year contract in February of this year. Under the agreement, CATL batteries will be used in the Model 3 vehicles produced at Tesla’s Shanghai factory. Zeng Yuqun revealed that he frequently shares his insights with Musk, and the two often exchange ideas via text messages about technological and business developments. Meanwhile, CATL is strengthening its relationship with Tesla—recently, for instance, the company has put plans to develop cobalt-free batteries on the agenda. Zeng also disclosed that Musk once asked him for assistance in securing ventilators intended for COVID-19 patients. In March of this year, Musk successfully obtained 1,000 ventilators from China and donated them to the Los Angeles government. "We get along really well—he’s an interesting guy who’s always talking about costs. But I’m confident we can find solutions together," Zeng added.
It is understood that CATL will produce more than 70% of the batteries required by BMW, and the company has also established relevant partnerships with Audi and Porsche. Additionally, Zeng Yuqun has not ruled out the possibility of building a factory in the U.S., but he also emphasized that there are currently no specific plans in place. "Our team has achieved impressive results when competing with overseas companies." A major concern for consumers considering electric vehicles is the gradual decline in battery performance, which often leads to the need for replacement within just a few years. Last year, Tesla announced it expects to begin producing a battery capable of lasting up to 1 million miles; General Motors, meanwhile, stated last month that the company is also on track to meet this ambitious goal.

Translated from Sina Auto

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