CATL to build two power plants with RMB15 billion

Beijing (Gasgoo)- CATL recently announced that the company planned to set up two battery production plants in Guizhou Province and Xiamen City.

Photo credit: CATL

According to the announcement, CATL intended to invest no more than RMB7 billion ($1.1 billion) in phase one of the Guizhou new energy power and energy storage battery manufacturing base. The base is located in Gui’an new district, taking up 1,200 acres of land, with a projected construction period of no longer than 18 months.  

The company set a budget of RMB8 billion ($1.25 billion) for phase one of the Xiamen lithium-ion battery manufacturing base. The Xiamen base will be built in the Torch Hi-Tech Industrial Development Zone, occupying 1,000 acres of space, and is expected to finish construction in a 26 months period.

Usually, the cost of lithium-ion battery projects average roughly RMB300 million ($46.91 million) per 1GWh, thus it will be safe to assume the total production capacity of the two said projects amounts to about 50GWh.

CATL has been expanding its production scale, with new plants or plant expansions announced in Jiangsu Province, Guangdong Province, Sichuan Province, Fujian Province, and Jiangxi Province since February, investing roughly RMB84.5 billion ($13.21 billion) in total.

According to CATL’s H1 financial report, the company produced 65.45GWh during the first half of 2021, and the production capacity will reach 92.5GWh after the ongoing constructions are completed.