Gotion High-tech, a Chinese battery maker, announced on Wednesday that its Hefei Gotion High-Tech Power Energy Co., Ltd., a wholly-owned subsidiary, recently signed a strategic cooperation agreement with Geely New Energy Commercial Vehicle Co., Ltd.
Both parties have agreed that Hefei Gotion will provide Geely’s commercial vehicle arm with power battery products from 2022 to 2024, with an estimated total of 126,000 sets.
Geely Commercial Vehicle is a wholly-owned subsidiary of Geely Holding Group. In recent years, it has been working its way into the new energy market and has seen its market share continuously increasing. Cailian Press learned from sources familiar with the matter on Tuesday that the group has considered a public listing and is planning to allow a broader range of external investors buy into the company.
Founded in 2006, Gotion High-Tech has business segments in power batteries, energy storage, transmission and distribution equipment for new energy vehicles. The firm has subsidiaries of Hefei Gotion Hi-tech Power Energy Co., Ltd., Industrial Research Institute, Capital Center and Dongyuan Electrical. The company was also shortlisted among the Top 10 of the global installed capacity in the field of power batteries released by SNE, a Korean market research institution, in February.
Gotion High-Tech and Geely Commercial Vehicle have been working with each other for some years. In 2019, the two sides signed a cooperation framework agreement. Over the past few years, they have been cooperating closely on projects such as pure electric mini vans, light trucks, and buses as well as range-extended light trucks, all of which helped strengthen their competitiveness in their respective fields.
In November 2021, Gotion High-Tech also worked with 11 of Geely Commercial Vehicle’s upstream and downstream enterprises (such as Farizon Auto) to jointly build a “Carbon-Zero Land Transportation Alliance”. Through this, they can jointly promote the development of China’s logistics towards zero carbon, smart hardware and higher efficiency.