CATL and BME have announced plans to construct a battery systems manufacturing facility in Egypt. The first phase of the project targets annual production capacity of one gigawatt-hour, with initial capital expenditure projected to surpass two billion Egyptian pounds, equivalent to approximately $39 million.
Initially Batteries for Heavy Commercial Vehicles
The facility's initial focus will be on manufacturing battery systems designed for heavy commercial vehicles. Future expansion is envisioned in two subsequent phases: the second phase aims to boost annual capacity to five gigawatt-hours and broaden the product portfolio to encompass batteries for passenger vehicles. Energy storage solutions for solar and wind installations are also part of the long-term vision. However, the companies have not disclosed specific timelines for either expansion phase.
The venture targets achieving 40% local content in its battery systems. The manufactured products will serve both the Egyptian domestic market and international buyers.
CATL to Provide Battery Technology and Equipment
The partnership divides responsibilities between the two companies according to their respective strengths. BME will supply manufacturing expertise and engineering resources to the operation. CATL's contribution encompasses battery technology, manufacturing equipment, and ongoing technical assistance.
Source: Battery-News
