Daimler makes plans with CATL for 700km electric Mercedes

German car brand Daimler has strengthened its partnership with Chinese battery maker Contemporary Amperex Technology Co (CATL), with hopes to launch the Mercedes-Benz EQS in 2021 with more than 700km driving range.

As part of the new deal, Daimler says it wants to use CATL batteries that are carbon-neutral in their production process.

Announced on Wednesday (European time), the partnership is intended to advance the electrification strategy of the Stuttgart-based automobile manufacturer.

The focus of the new agreement is on sustainability: Daimler is asking CATL to manufacture the battery cells at its new plant currently being constructed in Thuringia in central Germany, using energy from renewable sources.

”We intend to lead in battery technologies, so we are now combining our own research and development expertise with bold partners. We will integrate cutting-edge battery systems to create luxury cars with outstanding range, charging speed, safety and sustainability. Working with CATL will see us accelerate our transformation towards carbon-neutrality,” said Markus Schäfer, Mercedes-Benz Cars’ CO, in a statement.

“CATL will be a major supplier securing capacity for the next generations of our EQ products in the years to come.“

While Mercedes-Benz claims the title of inventor the combustion engine more than 130 years ago, the stregnthened deal with CATL will see it take the decisive next step into an future of electric mobility, says Yuqun (Robin) Zeng, founder, chairman and CEO of CATL.

“Together we will collaborate on developing and delivering reliable, competitive solutions to promote worldwide e-mobility,” said Zeng.

The development agreement between the two groups covers “the entire range of battery technologies, from cells and modules for Mercedes-Benz cars to complete batteries for Mercedes-Benz vans” in “future-oriented, innovative technology configurations”.

This also includes a special CATL design, called “Cell-to-Pack”, for individual projects. There are no modules and the cells are integrated directly into the battery. The cells are to be used in the flagship EQS, among other things, which will be launched next year.

With the cooperation, Daimler also wants to achieve shorter development cycles, greater range thanks to higher energy density and faster charging.

The Chinese company is a leading supplier of battery cells. In addition to Daimler, BMW also purchases cells for electric drives from CATL.

CATL has also been working closely with Tesla, and it is expected that at the EV maker’s planned “Battery Day” in September, it will reveal details of a so-called “million mile” battery that can cycle 4,000 times before significantly degrading.