The Pentagon has classified CATL, a Chinese electric vehicle battery maker partnered with Ford on a Michigan factory, as a “Chinese military company”. The designation, which highlights CATL’s connections to the Chinese Communist Party (CCP), raises concerns about the $3.5 billion project supported by Gov. Gretchen Whitmer (D) with nearly $2 billion in subsidies.
CATL has played a key role in advancing China’s global dominance in EV battery production. Zeng Yuqun, the company’s founder, is a member of a CCP advisory committee focused on strategic economic and technological goals. Critics argue that these ties pose a risk to U.S. national security.
Ford's Battery Plans at Risk With CATL Security Listing
Battery giant added to DoD list alleging companies are working with Chinese military puts automaker's battery manufacturing plant under the spotlight.https://t.co/CCmAXbI7Px #Automotive #AutomotiveTechnology #IndustryNews— AutoTech: Events (@AutoTechEvents) January 8, 2025
Ford’s collaboration with CATL, announced in February 2023, promised 2,500 jobs and a boost to Michigan’s economy. However, falling demand for electric vehicles led Ford to scale back the project, which has now come under additional scrutiny due to the Pentagon’s designation.
The blacklisting of Chinese battery maker CATL by the US government is a big setback for the US EV market, especially, Ford.
CATL owns groundbreaking EV battery technology (LFP) which Ford has been dying to gain access to for years with little success. 1/🧵
— Tiro GT 🥐 🇯🇴 (@TiroMokoditoa) January 8, 2025
Rep. John Moolenaar (R-MI) expressed alarm over the partnership, warning of potential risks to sensitive U.S. industries. He stressed the need for greater oversight of foreign investments tied to adversarial governments to protect national interests.
The saga of the corrupted “deal” led by @GovWhitmer @MEDC @QuentinMesserJr @jimfarley @Ford, et al, and PRC-based and CCP-tied @catl_official careens on.
The latest in this article in today’s @detroitnews.👇
This is why the evergreen headline of the article by @kurt_nagl… pic.twitter.com/SGwG7DEGtl
— Michigan-China Economic and Security Review Group (@MCESRG) August 19, 2024
The Michigan facility, planned to produce up to 35 gigawatt-hours of batteries annually, was a centerpiece of Ford’s EV strategy. CATL’s involvement was expected to provide cutting-edge battery technology, but its CCP links have fueled fears of espionage and economic manipulation.
US lawmakers are going after CATL accusing the battery giant of having direct ties to the Chinese military, the North Korean dictatorship and human rights abuses in Xinjiang. CATL is Ford's partner on its $2bn Michigan plant and at stake is tax subsidies for Dearborn to build the… pic.twitter.com/QhSO9q5OQC
— Frik Els (@frikels) February 2, 2024
Reports from 2021 revealed that several CCP-linked investors held stakes in CATL, further raising questions about its operations. The Pentagon’s action underscores the challenges of pursuing clean energy initiatives while addressing national security concerns.
Who uses CATL batteries?
Automotive Sector
Tesla: Supplies LFP batteries for entry-level Model 3 and Model Y vehicles.
Ford: Batteries for Mustang Mach-E and F-150 Lightning.
BMW: Supplies batteries for BMW's electric vehicle lineup.
General Motors (GM): Provides batteries for…— Toni Mikkola 🏴☠️ (@virtaava) January 7, 2025
Biden allowed CATL a CCP owned company to partner with Ford on a battery plant near the Pentagon🤦🏼♀️. China is playing the Biden admin with this ridiculous green agenda. Thankfully Virginia’s governor nixed it. There is nothing green about this agenda except cash going to the…
— StaceyWallen✌🏼❤️🇺🇸 (@stacey_wallen) February 26, 2023
Pentagon adds world’s largest EV battery maker to blacklist, posing problems for Tesla, Ford, and GM. The Pentagon's running list of companies with ties to the Chinese military now includes CATL, an integral partner to some U.S. automakers. https://t.co/gJ77RMfgqg pic.twitter.com/uWJcKFtahX
— RenewableEnergyWorld (@REWorld) January 7, 2025
Ford EV Partner CATL Debuts LFP Battery With 621 Mile Range https://t.co/iYlNUjdsPC pic.twitter.com/5aV1Uf5J0h
— Ford Authority (@FordAuthority) April 26, 2024