Chinese Catl Gigant’s battery is expanding on a global scale: that’s why it’s important

The world’s largest battery manufacturer (EV) is engaged in international expansion and can shake the EV market in this process of its battery.

China Modern AMPEREX Technology Co. Ltd. (CATL) is a key player in the world transition to more sustainable transport, with market share in the EV sector Approximately 38%. Catl customers include global players like Tesla. Volkswagen and Bmwwith a firm Boast technology Western competitors are far superior.

Despite its negative impact on the EV industry, the company has largely flew under radar until May, when it launched the world’s largest public proposal (IPO) in 2025 to Hong Kong.

IPO raised $ 41 billion in Hong Kong ($ 5.2 billion) after Catl shares have grown and a completely implemented disconnection.

That’s what Catl has in the works after his IPO.

For the first time in August 2022, 7.6 billion euros (8.2 billion) were announced Expected to start production This year.

The battery manufacturer has already set up a production base in Germany, which was first opened in 2023. It also announced the plans to build a battery plant in Spain via a, a, joint venture since Stellantis.

Bill Rus, the founder and CEO of the Automobility Investment Advisory Firm said that CATL expansion plans aimed at maintaining its global leadership and scale, referring to a limited impulse of growth in the domestic market and competition growth.

“The advantage of the early CATL engine helps to record long-term contracts, and the pricing force in Europe is stronger, maintaining higher profitability over China,” said Rus CNBC by email.

“Hungary’s plant is a strategic gateway to the EU market,” he added. “Hungary offers proximity to the main manufacturers, government incentives and reduce work costs – making it an attractive center for Chinese EV and players seeking to gain a foothold in Europe,” he added.

CATL’s global investment is a trend of more Chinese EV companies, including the BYD car giant, moving to Europe amid aggressive competition and price wars in the domestic market.

Speaking at the World Economic Forum in Tianjin, China, Thursday, Catl Ni Jun Production Director said, a tough discount of the war would not end without interference with Beijing.

He added that if a big player continues to lower the prices, it can exile other competitors out of the market and create a monopoly. While June Catl called no companies, the main competitor Catl byd Declared prices declines At the end of May.

Sincere profitability and exceeding power in China were the driving force in Europe Push Catl, said Tu -Le, the founder and director of the Sino Auto Insights, adding that the company already supplies “virtually every” EV manufacturer in China, limiting the growth opportunities.

But not everything in Europe was simple. Located block Punitive tariffs on made in China Evs Last year, following even more Strong repression In the US

Le said that Hungary is another major step towards the company’s localization plans and that this would reduce work costs and geopolitically more friendly environment compared to Germany.

Catl is also involved in Built -in battery electric vehicles In Indonesia. According to local media reports, government officials expect production to start in March 2026, which can give Catl a presence in a growing market EV Southeast Asia.

Katl said in a recent interview with Financial Times The fact that it also plans to expand its technology containing batteries and processing to Europe is a step that may have significant consequences for the regional market. CNBC contacted CATL for more information.

Modern technology containing batteries, albeit popular in China until it takes off in Europe. The Chinese manufacturer EV and the pioneer that overcomes Nio’s battery is one of the exceptions. The company introduced 60 battery substitution stations throughout Germany, the Netherlands, Norway, Sweden and Denmark.

Maker Jeep and Dodge Stellantis, recently collaborated with the US wide for integrating batteries replacement with the Navy with 100 Fiat 500 EVS in Madrid, Spain.

It is believed that the experience of using Swap Swap Station is very similar to the use of automated car wash. The EV driver ties a car on a platform with an integrated system that removes a depleted battery from the vehicle and replaces it with fresh, fully charged. The whole process takes about five minutes.

Proponents of battery charging through a replacement station say that technology resolves a number of issues especially related to rapid charging and long-term performance-two basic points concerning the broad acceptance of EVS.

Analysts say another key advantage for sharing is that it allows car manufacturers to maintain ownership of the battery, which reduces the original price of the car and creates a regular revenue flow for manufacturers.

Some disadvantages, however, include high initial infrastructure costs and lack of standardization for car manufacturers.

Connor Watts, Battery Battery in Consultancy Fastmarkets, said Catl, which has a number of partnerships with Chinese manufacturers, has a good place to implement the required level of standardization of products across the customer base.

“And especially after the recent inflow of cash from Hong Kong, it has the necessary capital to develop infrastructure on the European market,” Watts CNBC said.

“Companies that could succeed in the development of the European battery industry are better located than Catl, given its position on the market,” he added.

Julia Polyiscanova, senior director of vehicles and email supplies in transportation and environment company, said large manufacturers should agree to standardized cells of battery replacement technology to work in Europe.

“Battery exchange is a good addition to the place for charging, and in some parts of the market it makes sense … But it is not a silver bullet to solve our problems,” said Poliscanova CNBC by phone.

“We still need batteries, and we will still need materials for them, no matter whether they are changed, or they are in the car constantly,” she added.