China’s Contemporary Amperex Technology Co., the world’s biggest maker of batteries for electric vehicles, is considering sites across North America for a massive $5 billion (all figures in USD) plant to supply customers including Tesla Inc.
The company aims to build a factory capable of producing as much as 80 gigawatt-hours of batteries a year, according to people familiar with the matter. The facility would eventually employ as many as 10,000 workers, said the people, who asked not to be named discussing private information.
Executives from CATL flew to Mexico earlier this month for meetings, the people said. The company is also considering sites in the United States and Canada, but has concerns over the availability of labor and other trade issues.
A spokesman for CATL in China declined to comment on the expansion into North America, the planned investment and evaluation of sites.
Backed by China’s strategic push in EVs, CATL is riding a boom in demand for EVs as countries work to reduce carbon emissions and consumers embrace cleaner cars. The company, which completed an initial public offering in 2018, has about a 30 percent share of the global EV battery market.