The chairman of the SHANGHAI Chinese battery giant CATL said this year it plans to start mass production and delivery of batteries based on a new materials technology, M 3 P, which will perform better and cost less than nickel and cobalt-based batteries.
M 3 P batteries will have a higher energy density and perform better than lithium-ion phosphate batteries, a market CATL dominates. Zeng Yuqun told an online investor briefing on Friday that they would be cheaper than nickel and cobalt-based batteries.
In August last year, CATL made public that it was working on M 3 P technology, which can allow an electric vehicle to run 700 km 430 miles per charge when combined with CATL's next generation of battery pack technology.
CATL, whose clients include Tesla, Volkswagen, BMW, and Ford, is the world's biggest battery maker, accounting for more than a third of the sales of batteries for electric vehicles EV worldwide.
The company's dominance attracted attention from Chinese President Xi Jinping, who said earlier this month he was pleased and concerned about its rise.
Since last year, a number of customers of CATL have complained about its market position, with some opting for alternative suppliers or choosing to develop their own batteries.
Asked on Friday how these rival batteries could affect CATL's market share, Zeng said that he expected them to have more impact on second-tier and third-tier battery-makers and that CATL would remain the primary battery supplier.