Shanghai (ZXZC)- On March 13, BAIC Group and CATL inked a memorandum of understanding (MoU) for the strategic cooperation on developing power batteries, according to a post on BAIC Group’s WeChat account.

The latest move indicates the collaboration between the two parties has been further cemented to provide broader space and greater impetus for their strategic business expansion, said BAIC Group.

Photo credit: BAIC Group

Under the MoU, CATL will be deeply involved in the development and production of the complete vehicles under the self-owned new energy vehicle (NEV) brand of BAIC Group, providing competitive power battery products and service support.

BAIC Group said it will build a closer strategic partnership with CATL to carry out comprehensive cooperation in the field of power batteries.

The cooperation between BAIC Group and CATL can be traced back to 2010. Over the past 13 years, the two sides have continuously strengthened their partnership in supply, technology development, standard formulation, after-sales service, and other areas.

As the major NEV arm of BAIC Group, BAIC BJEV produced 1,371 vehicles in the first two months of 2023, representing an 18.59% year-on-year decrease, while its year-to-date sales surged 42.16% from a year earlier to 4,812 units.