According to Bloomberg, Tesla (NASDAQ:TSLA) is planning to collaborate with Chinese battery giant CATL to construct a battery plant in the United States. Sources familiar with the matter claim that the EV manufacturer based in Austin has informed the White House of the proposal and is seeking clarity on the Inflation Reduction Act’s implications for the joint venture. The planned battery plant is expected to be built in Texas.
Ford (F) previously announced in February that it had signed an agreement with CATL to invest $3.5 billion in a lithium iron phosphate (LFP) battery factory in Michigan, a deal that drew significant attention, including from Senator Marco Rubio, who urged the Biden administration to scrutinize it. Tesla intends to license CATL’s technology in a similar structure to Ford, according to the report.