Musk's Meeting with CATL Chairman Zeng Yuqun: What Did They Discuss?

According to CCTV News, on May 30th, Tesla CEO Elon Musk arrived in China and had a meeting with State Councilor and Foreign Minister Qin Gang in Beijing. 

On the same day, a photo circulated on online platforms showing Elon Musk walking side by side with Zeng Yuqun, Chairman of CATL (Contemporary Amperex Technology Co. Limited), in the lobby of a hotel. The photo also included Zhu Xiaotong, Tesla's Global Vice President. However, both Tesla China and CATL did not respond to inquiries from reporters from "Everyday Economic News" at the time of writing. Parameters of Graphite Products for Lithium-ion Battery Anodes. 

What did Elon Musk and Zeng Yuqun discuss during their meeting?

According to CCTV News, on April 9th, American automaker Tesla Inc announced plans to build a new mega-factory in Shanghai specifically for the production of its energy storage product, the Megapack.

The Tesla energy storage mega-factory is expected to produce Megapacks, which are large-scale commercial energy storage batteries. The initial plan is to produce around 10,000 units of commercial energy storage batteries per year, with a storage capacity of nearly 40 GWh. The products will be available globally. The Tesla energy storage mega-factory project is scheduled to start construction in the third quarter of 2023 and begin production in the second quarter of 2024. According to the Tesla official website, the Megapack utilizes lithium iron phosphate batteries developed by CATL. It can store energy and provide power, contributing to grid stability, blackout prevention, and improving sustainable energy infrastructure.

According to The Paper, industry insiders speculate that the meeting between Musk and Zeng may include discussions on the supply of energy storage battery cells for the Shanghai mega-factory, future collaborations in building battery factories in North America, and power battery supply. It's worth noting that on May 24th, CATL unveiled the world's first zero auxiliary source solar and energy storage integration solution at the SNEC Photovoltaic Conference and (Shanghai) Exhibition. Through self-developed photovoltaic energy storage inverters, advanced high-temperature cell technology, and self-heating technology, CATL's zero auxiliary source solar and energy storage integration solution eliminates the dependence on traditional cooling systems and auxiliary power sources. It enables real-time synchronization between solar energy and energy storage, achieving millisecond-level power control response and improving charging and discharging efficiency by 10%.

CATL representatives stated that they have innovatively introduced the zero auxiliary source solar and energy storage integration solution, consisting of three major modules: "photovoltaic modules, energy storage cabinets, and photovoltaic energy storage inverters." While the photovoltaic modules convert sunlight into electricity, the energy storage cabinets can store or release electricity based on real-time demand, and the photovoltaic energy storage inverters convert the DC electricity from the photovoltaic modules and energy storage cabinets into AC electricity for transmission to the grid. These three modules work efficiently together to support the grid actively, suppress power fluctuations, and achieve peak shaving, providing the optimal solar and energy storage integration solution. It remains to be seen whether CATL's new high-temperature cell technology will be applied to the products of Tesla's Shanghai Megapack mega-factory.

In addition to energy storage, the discussion between the two parties may also involve plans for collaboration in establishing battery factories in North America. In late March, Bloomberg reported that Tesla had informed the White House about its plan to build a factory in collaboration with CATL and sought clarification on how the "Inflation Reduction Act" would affect this plan. The new factory is tentatively planned to be built in Texas. Industry insiders speculate that Tesla may seek assistance from CATL in battery technologies, including the 4680 battery technology and lithium iron phosphate battery technology. For detailed information on the June market trends of lithium-ion battery negative electrode materials, feel free to contact us.