Renault Teams Up with CATL and LG to Make Cheaper Electric Car Batteries

Introduction

Renault’s electric vehicle arm Ampere has announced a groundbreaking partnership aimed at revolutionizing the EV battery market.

Cheaper Batteries for All

Ampere will integrate lower-cost lithium iron phosphate (LFP) batteries into several models under the Renault and Alpine brands. This strategic move involves collaborations with Chinese battery giant CATL and South Korea’s LG Energy Solution.

The Main Goal

• The aim is to reduce vehicle battery costs by 20% by 2026.
• LFP cell chemistry will be added alongside more expensive nickel cobalt manganese (NCM) options.
• This initiative targets the growing demand for affordable electric vehicles (EVs).

Market Dominance

CATL and BYD dominate the global battery market, holding a combined share of 53.1% from January to April 2024. CATL alone shipped 27.7 gigawatt-hours (GWh) worth of batteries globally during this period, marking a significant increase from the previous year.

Conclusion

This collaboration between Renault, CATL, and LG Energy Solution marks a pivotal step towards making electric vehicles more accessible through cost-effective battery solutions.

References

• Renault announcement
• TechNode reporting
• SNE Research Data