BEIJING, Oct 12 (Reuters) – Contemporary Amperex Technology Co Ltd (300750.SZ) plans to build a battery material recycling facility in the central Chinese province of Hubei with an investment of up to 32 billion yuan ($4.96 billion), the electric-vehicle battery maker said on Tuesday.
The company’s announcement comes at a time when global demand for electric vehicles has surged, which makes securing battery materials a key task for the industry.
China, the world’s biggest car market, has also set standards and policies to promote battery recycling and save materials.
A CATL unit will form a joint venture with Hubei Yihua Chemical Industry Co Ltd (000422.SZ) to recycle used EV batteries for chemicals such as cobalt and lithium, the company said in a filing.
Last month, CATL said it had agreed to acquire Canada’s Millennial Lithium Corp (ML.V), as it looks to shore up the supply of key ingredients for EV batteries.
($1 = 6.4526 Chinese yuan)
Reporting by Yilei Sun and Brenda Goh; Editing by Ramakrishnan M.
Our Standards: The Thomson Reuters Trust Principles.