GM to Source CATL Batteries for Bolt EV, Aims for 2027 Domestic Production

General Motors (GM) has announced its intention to procure electric vehicle batteries from Contemporary Amperex Technology (CATL) for its upcoming entry-level Bolt electric vehicle. This strategic move is aimed at ensuring the competitiveness of GM's most affordable electric vehicle models while the company develops its domestic battery production capabilities in collaboration with LG Energy Solution.

In a statement released, GM confirmed that it will source lithium iron phosphate batteries from foreign suppliers until 2027. This decision is part of a broader strategy to maintain the cost-effectiveness of its electric vehicle offerings, particularly the Chevrolet Bolt. The Bolt is set to commence production later this year at GM's factory in Kansas City, Kansas.

Industry insiders have revealed that CATL will be the supplier for these batteries. This transition period is expected to last approximately two years, during which GM and LG Energy Solution will be working diligently to establish battery production facilities in the United States. The goal of this domestic production is to reduce reliance on foreign suppliers and mitigate the potential impact of tariffs.

Despite the challenges posed by high tariffs, GM has chosen to proceed with importing batteries from CATL. This decision highlights the company's commitment to delivering affordable electric vehicles to the market, even in the face of economic pressures. The collaboration with CATL is seen as a strategic move to bridge the gap until GM's domestic battery production is fully operational, ensuring that the Bolt remains a competitive and cost-effective option for consumers.