CBAK Partners with Kandi to Localize Lithium Battery Facilities in the U.S. in Phases

Group 1 - CBAK Energy and Kandi Technologies have formed a strategic partnership to establish two lithium battery production facilities in the United States, focusing on battery pack assembly and battery cell manufacturing [1][2][4] - The partnership aims to enhance supply chain resilience and align with U.S. clean energy incentives, particularly in response to the growing demand in North America's off-road and recreational vehicle markets [3][6] - CBAK will supply battery cells to Kandi's facility at market rates, initially from overseas production and later from a U.S.-based facility, creating an integrated supply chain [5] Group 2 - The North American market for UTVs, golf carts, and other off-road vehicles was valued at $16.7 billion in 2024 and is projected to reach approximately $25.0 billion by 2030, indicating significant growth potential for the partnership [6] - CBAK Energy is actively evaluating locations outside of China for new battery manufacturing capabilities, including plans for small-scale production in Southeast Asia [2] - Both companies will establish separate joint ventures for the battery pack and cell facilities, with Kandi holding a 90% equity stake in the pack assembly venture and CBAK holding a 90% stake in the cell manufacturing venture [4]