BMW intends to have EVE Power as second local battery supplier for China market

Shanghai (Gasgoo)- On July 21, EVE Energy, a Chinese lithium battery provider based in Huizhou, Guangdong Province, announced that its subsidiary EVE Power Co.,Ltd. has received a statement of intent to cooperate which said BMW Brilliance Automotive Ltd. is interested in partnering with EVE Power to let the latter be its battery supplier. Both parties are in talks for the cooperation.

(Photo source: EVE Energy)

If the cooperation was agreed later, EVE Power will serve as BMW's second local power battery supplier for the China's market following CATL.

BMW's first BEV model, the BMW iX3, made its world's debut on July 14. The significant model is set to be put into mass production at BMW Brilliance's Shenyang plant and go on sale in China first, and then be exported to other countries or regions where BMW has operations.

(BMW iX3, photo source: BMW)

According to BMW, the iX3 has been listed on the MIIT's catalogue, which means the volume production is underway. The model is scheduled to hit the market in the second half of 2020.

Global automakers are scrambling to expand their lineup of battery suppliers in case they fall behind in the worldwide electrification spree.

Volkswagen Group said in late May it had found a further partner to secure future demand for batteries for its Chinese e-models. With the signing of binding agreements, Volkswagen (China) Investment Co. Ltd. will become the largest shareholder in Gotion High-Tech, China’s No.3 power battery supplier, with 26% of the shares, through a buy-in of around €1.1 billion. The completion of the transaction will make Volkswagen the first global automaker that invests directly in a Chinese battery provider.

Japanese automaker Honda signed an agreement with CATL earlier this month form a comprehensive strategic alliance on NEV batteries to promote the popularization of electrified vehicles. This agreement will enable the two companies to begin discussions on a broad range of areas including joint development, stable supply, and the recycling and reuse of batteries.