Mercedes-Benz and CATL are expanding a partnership which began in 2020 in connection with CATL’s planned battery cell factory in Drebrecen, Hungary. “Mercedes-Benz will be the first partner to receive battery cells from the Hungarian plant with the largest initial order volume,” says Mercedes-Benz.

“With CATL we have a technology leader as our partner to provide us—as the first and biggest customer of the new plant’s initial capacity—with top-notch CO₂-neutral battery cells for our next-generation EVs in Europe, hence following our local-to-local approach in procurement,” says Mercedes-Benz Board Member Markus Schäfer.

Mercedes says the factory will only use “battery raw materials which were extracted from audited mines.”

“CATL will invest €7.34 billion (about $7.36 billion) to build the 100 GWh battery plant in Debrecen—its second battery plant in Europe following its German plant,” says Green Car Congress. “Subject to the shareholder meeting approval, construction of the first production facilities will start within this year. The project will supply both cells and modules to European automakers.”

Mercedes-Benz aims to build eight battery cell factories, including four in Europe.

Source: Mercedes-Benz