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SHANGHAI/SEOUL, June 23 (Reuters) – Chinese battery huge Contemporary Amperex Technological know-how Co Ltd (CATL) has equipped electric powered motor vehicle (EV) batteries to South Korea’s Kia Corp (000270.KS), the businesses said on Thursday, marking Kia’s first use of non-Korean EV batteries for revenue at dwelling.
The South Korean automaker, an affiliate of Hyundai Motor Co (005380.KS), has preferred batteries from CATL for its electric powered Niro crossover SUV, aiming at expanding its assortment of battery suppliers, a South Korean newspaper reported on Wednesday.
“With gross sales of its battery electric automobiles increasing globally, Kia is cooperating with a variety of battery suppliers to diversify and stabilize battery supply,” Kia reported in a assertion to Reuters, confirming the use of CATL’s batteries.
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A CATL spokesperson also verified the report, with out elaborating.
CATL, whose clients consist of Tesla Inc (TSLA.O) and Volkswagen AG (VOWG_p.DE), is the world’s greatest battery maker.
Sector tracker SNE Investigate suggests the company has a share of more than 35% of the booming international EV battery marketplace. Analysts say the market is truly worth tens of billions of pounds a calendar year.
For domestic EV profits, Hyundai Motor and Kia have formerly employed only batteries from two South Korean corporations – LG Strength Alternative Ltd (373220.KS) and SK Innovation Co Ltd’s (096770.KS) SK On.
Those battery makers and domestic peer Samsung SDI Co Ltd (096770.KS) collectively command a lot more than a quarter of the international EV battery current market, in accordance to SNE Investigate.
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Reporting by Zhang Yan in Shanghai and Heekyong Yang in Seoul Editing by Muralikumar Anantharaman and Bradley Perrett
Our Expectations: The Thomson Reuters Trust Ideas.