Xi Jinping views top EV-battery maker CATL with ‘joy and worry’

Chinese President Xi Jinping praised and at the same time raised concern about battery maker Contemporary Amperex Technology Co. Ltd. at a meeting with delegates during annual national meetings in Beijing. 

Xi expressed “both joy and worry” about CATL ranking as the world’s biggest cell maker for six-straight years, Xinhua News Agency reported Tuesday, saying the company has a global market share of 37%. 

“The good news is that our industry has come to the forefront of the world. The worry is that I am afraid of a big boom, first rushing up, and finally dispersing,” the news agency cited Xi as saying. 

Xi, poised to start a third term as China’s leader and consolidate his rule, said the growth of emerging industries should be well planned and closely assessed for risk. He said companies must balance development with security.

CATL didn’t immediately respond to a request for comment. The company is based in Ningde, Fujian — the province where Xi was once governor.

China has emerged as a dominant force in electric-vehicle battery making, with BYD Co. in second place in terms of global market share, ahead of South Korea’s LG Energy Solution Ltd., Panasonic Holdings Corp. and Samsung SDI Co., according to January figures from SNE Research Inc. 

Chinese authorities are scrutinizing a CATL agreement with Ford Motor Co. to work together on battery making in the US, concerned that core technology could be accessed by the American automaker, Bloomberg News has reported. The Biden administration is also nearing completion of an order that would restrict US investments in parts of the Chinese economy. 

CATL’s shares slipped 1.5% on Tuesday.