- As per a new leak, Ford has struck a deal with Chinese automaker BYD for the production of batteries meant for Ford EVs and hybrids sold in China.
- Ford will reportedly acquire lithium-ion battery cells or NMC from the manufacturer.
- Ford’s momentum in the Chinese market has improved after launching PHEVs a few years ago followed by an all-electric SUV, the Territory EV in 2019.
According to a leak by Twitter user Moneyball (@DKurac), Ford’s upcoming EVs and hybrids in China could be running on batteries made by Chinese automaker BYD. It is said that the revelation was made by the Chinese Ministry of Industry and Information Technology (MIIT) in a list that is usually published. There’s no confirmation of the deal from either Ford or BYD, although we expect a formal press statement to follow when the deal is finalized.
This makes a great deal of sense for Ford as it would save the costs of getting imported from elsewhere. It is said that Ford’s deal with BYD will involve lithium-ion battery cells (NMC). Additionally, BYD has also added Chinese automaker BAIC to its client list. BAIC was previously associated with CATL, a China-based battery manufacturer that recently struck a deal with Tesla.
Ford’s China business has been picking up quite steadily over the past few years, and the company released an electric SUV in the region last year, known as the Ford Territory EV. However, this vehicle was not an original concept and was mostly based on Jiangling’s Yusheng S330 SUV.
It has been revealed that batteries mass-produced in China end up being cheaper than imports, which explains why most manufacturers are eager to strike deals with local manufacturers in China. Although the U.S. and China are still on hostile grounds politically, there should be no trouble with regard to deals like these.
As for the tesla deal we briefly mentioned above, the company teamed up with CATL for LFP batteries that are cost-efficient. This could eventually reduce the prices of some of Tesla’s vehicles sold in China.
Source: Twitter
Via: Inside EVs