In terms of Chinese, Japanese and South Korean car makers in Asia, the close cooperation with battery manufacturers can be said to be the national teams led by automakers, for example, close partnerships between SAIC and CATL in China, Toyota and Panasonic in Japan, and Hyundai and LGES in South Korea.
In contrast, there are two kinds of cooperation between European car makers and other non-European (especially Chinese) battery manufacturers: one is outside Europe, for example, the joint venture factory of VW and Guoxuan High-tech mainly responds to the demand of the Chinese market.
In terms of European car makers, VW Group, BMW Group and Volvo strategically built plants with Northvolt, while Stellantis and Daimler cooperated with Automotive Cells Company (ACC). This clearly shows that European automakers want to establish a local battery supply system and use it as the main force for future supply.
A European-based battery manufacturer, InoBat already has a battery research and development facility and pilot line under development in Slovakia. InoBat has also been approved for grant financing under the EU sponsored programme, Important Projects for Common European Interest, and already received a grant from the Slovak Government.
Thus, car makers could reduce a lot of energy transmission consumption through their proprietary designs, and also improve their pack of batteries technology, which enables their EV to have higher energy density and enjoy greater advantages. Therefore, battery is the key component of EV.
Figure 1: The strategic partnerships between main EV OEMs and battery suppliers. In terms of American car makers, Tesla has jointly built cell production lines with Panasonic, GM and Ford will build plants with LG Energy Solution (LGES) and SK On, respectively, while Rivian’s main battery supplier is Samsung SDI.
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