Honda China/Dongfeng/GAC jointly set up a new company to purchase batteries from CATL

New energy is a hot star in the automotive industry, and power battery companies headed by CATL have also benefited a lot from it. At present, most traditional car companies are transforming to electrification, so it is very necessary to build a good supply relationship with power battery companies. Honda thought of this and started to act. It is understood that Honda China, Dongfeng and GAC will jointly establish a battery procurement company and establish a long-term procurement system with CATL.

Specifically, Honda China signed an agreement with Dongfeng Group and Guangzhou Group. The three parties jointly established Zhongrui (Beijing) Trading Service Co., Ltd. according to a 50:25:25 share ratio, and the new company will centrally purchase power batteries from CATL.

Honda China also signed a memorandum of strategic cooperation with CATL to build a long-term and stable power battery supply and demand system.

In fact, as early as 2020, Honda and CATL signed a comprehensive strategic cooperation agreement on new energy vehicle power batteries. After the establishment of the new company, the strategic partnership between Honda and CATL will be strengthened.

Of course, the most important thing is that Honda’s new e:N brand pure electric vehicle product lineup will continue to expand in the future, and the supply and demand system of power batteries will also be fully guaranteed.

According to the plan, Honda will continue to launch 10 e:N brand pure electric vehicles in China by 2027. At present, GAC Honda and Dongfeng Honda have started the construction of new electric vehicle factories, and are fully accelerating the promotion of electrification.

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