Chinese battery giant CATL has signed a cooperation agreement with Egyptian battery manufacturer BME to help it produce battery packs locally, according to a report from Gasgoo, as cited by First Electric (D1EV). The deal aims to fill a gap in Egypt's domestic battery pack manufacturing.
Under the agreement, CATL will provide BME with technology licensing for battery packs, production equipment, and training services, building on an earlier intention to supply cells. The factory, fully funded by BME, is planned to have an annual capacity of 1 GWh and will focus on battery packs for heavy commercial vehicles. Once operational, BME will supply local automakers directly.
Expansion plans
BME is a joint venture between Egyptian commercial vehicle manufacturer MCV and automotive solutions provider Auto D. According to long-term plans, the factory could expand capacity to 5 GWh and extend production to passenger-car battery packs as well as energy storage systems for solar and wind power.
The partnership marks CATL's latest move to expand its presence in emerging markets, following similar technology-licensing and local-production deals in other regions. For Egypt, the project represents a step toward building a domestic EV supply chain, reducing reliance on imported components.
Neither company disclosed financial terms of the agreement. The report did not specify a timeline for the factory's construction or start of production.