On December 25, 2025, CATL announced that it has signed a three-year memorandum of understanding with Sieyuan Electric, targeting a cumulative cooperation volume of 50 GWh in the energy storage sector.

This agreement builds on the partnership established between the two companies in 2022, deepening their collaboration in the energy storage field. CATL and Sieyuan plan to leverage their respective strengths to promote a market-oriented dual-sourcing procurement model. The approach aims to enhance efficiency throughout the industrial chain and contribute to the high-quality development of the energy storage sector.

Over the next three years, the two parties will focus on closer coordination between upstream and downstream segments of the value chain. This will include energy storage systems as well as supporting equipment for transmission and distribution. The collaboration will also involve intensified technical exchanges and joint project development, with objectives to refine integrated solutions, improve delivery efficiency and system reliability, and accelerate the large-scale application of energy storage systems in next-generation power networks.

Sieyuan Electric, headquartered in Shanghai, is a well-established company specializing in power technology research and development, equipment manufacturing, and engineering services. It has been actively advancing digital transformation initiatives across the energy industry.

The memorandum represents a strategic step forward in their ongoing cooperation. By strengthening coordination within the energy storage value chain, the agreement provides the broader industry with a model of ecosystem collaboration that is more resilient, efficient, and sustainable. This supports the advancement of modern energy systems and related national objectives for carbon reduction and renewable energy integration.

CATL, as a leading global provider of battery technologies, continues to expand its presence in energy storage, which forms a core part of its business alongside electric vehicle applications. The partnership with Sieyuan aligns with growing demand for reliable energy storage solutions to facilitate the integration of renewable energy sources into power grids.

This development highlights continued progress in China's energy storage industry, where companies are working together to optimize supply chains, enhance technical capabilities, and support the transition to cleaner energy infrastructure. The targeted 50 GWh scale over three years underscores the commitment to scaling up deployment and improving overall performance in the sector.

by autonews.gasgoo