GM to buy EV batteries from China’s CATL for low-cost Bolt EV

[WASHINGTON] General Motors (GM) plans to purchase electric-vehicle (EV) batteries from China to power its upcoming entry-level EV until it can procure US-made batteries through its partnership with South Korea’s LG Energy Solution.

The automaker said on Thursday (Aug 7) that it would look to foreign suppliers of lithium iron phosphate batteries for the Chevrolet Bolt EV until in 2027. “To stay competitive, GM will temporarily source these packs from similar suppliers to power our most affordable EV model.”

China’s Contemporary Amperex Technology Co Limited (CATL) will supply the lithium iron phosphate, or LFP, batteries, according to a source familiar with the matter. The Bolt is set to begin production late this year at the carmaker’s plant in Kansas City, Kansas.

The battery decision illustrates the tradeoffs that automakers must face as they work to introduce more affordable EV models while also navigating steep new tariffs imposed by US President Donald Trump.

CATL is one of the world’s largest battery manufacturers and a major supplier of LFP batteries to the auto industry. The technology is prized for its lower costs compared to batteries made with high levels of nickel and cobalt, and is a popular choice for lower-cost EVs.

China is the dominant source of LFP batteries globally. That means GM will face tariffs on what it imports from CATL until it can source domestically produced LFP cells from its venture with LG that is slated to begin output in about two years.

The Wall Street Journal earlier reported GM’s plans to buy from CATL. BLOOMBERG