(Yicai) Oct. 13 -- Svolt Energy Technology has received an order for CNY54 billion (USD7.4 billion) worth of electric car batteries from BMW, making it the fourth Chinese battery maker to sign supply deals with the German auto giant in the past year, according to recent media reports.
Svolt, which operates two battery plants in Germany with an annual output of 40 gigawatt-hours, is supplying BMW with 90 GWh of batteries in Europe, tech media 36Kr said. Based on current market prices of CNY0.60 (USD0.08) per watt-hour, the value of the deal is around CNY54 billion (USD7.3 billion).
Changzhou, eastern Jiangsu province-based Svolt has received a big order from a European carmaker, but it cannot disclose any details due to a confidentiality agreement, Securities Times said today, citing a company source.
BMW is also buying 70 GWh of batteries from either Contemporary Amperex Technology or EVE Energy that will be supplied in China, 36Kr said. The total order of 160 GWh of batteries is worth around CNY96 billion (USD13.1 billion).
BMW has already inked battery procurement deals with CATL, EVE Energy and Envision AESC in the last year as the Munich-based firm strives to meet its goal of delivering more than two million pure electric cars worldwide by the end of 2025 as part of its electrification strategy that was first announced last September.
Svolt, which is a spin-off of carmaker Great Wall Motor, was the world’s 12th biggest battery manufacturer in the first half with shipments of 3.2 GWh, according to data from South Korean market research firm SNE Research. Ningde, southeastern Fujian province-based CATL and Eve Energy ranked first and ninth with 141.1 GWh and 11.6 GWh, respectively.
Editor: Kim Taylor