<article><p class="lead">Major Chinese battery producer Contemporary Amparex Technology (CATL) reported higher production and sales in 2020, in response to higher demand from the electric vehicle (EV) and energy storage battery industries.</p><p>CATL's battery production, including of power batteries and energy storage batteries, totalled 51.71GWh in 2020, up by 9.4pc from 2019. Its sales increased by 14.4pc to 46.84GWh over the same period. </p><p>The global EV market was impacted by the Covid-19 pandemic in the first half of 2020. But EV producers even outside of China, particularly in the EU, South Korea and Japan, have been <a href="https://metals.argusmedia.com/newsandanalysis/article/2119394">ramping up output</a> since mid-2020 as the EV industry is an important part their green economic revival.</p><p>Rapid developments in the EV industry in recent years have bolstered demand for power batteries and energy storage batteries, prompting battery producers to raise output capacity.</p><p>CATL in February unveiled a plan to build <a href="https://metals.argusmedia.com/newsandanalysis/article/2183322">three battery facilities</a> in China. </p><p>The firm is also exploring the raw material mining sector to secure feedstock supplies. It will partner with diversified metals producer China Molybdenum (CMOC) to develop the <a href="https://metals.argusmedia.com/newsandanalysis/article/2204279">Kisanfu copper-cobalt mine</a> in the Democratic Republic of Congo.</p><p><i>Argus</i> last assessed prices for 99.8pc grade cobalt metal, the main feedstock for power batteries, unchanged from 22 April at 330-360 yuan/kg ($50.90-55.50/kg) ex-works on 27 April amid limited trading activity this week. Consumers have shown little buying interest, while other participants are observing the market.</p></article>
