Apple in Talks with CATL and BYD for Electric Vehicle Batteries, Report Says

As Apple prepares to develop its own electric vehicle (EV), the company has been talking to a number of different potential battery suppliers, and has now entered early discussions with a few key companies in China.

Apple is currently talking with China’s Contemporary Amperex Technology (CATL) and Warren Buffett-backed BYD about supplying batteries for the upcoming electric Apple car, according to four sources familiar with the subject (via Reuters).

While the talks are not set in stone and are still subject to change according to the sources, who asked to remain anonymous because the matter is private, Apple has made the plans contingent on each company’s willingness to build factories in the U.S.

CATL, which is also a supplier for Tesla and recently announced plans for a new production facility in Shanghai, is reportedly apprehensive about building a plant in the U.S., due to escalating relations between Washington D.C. and Beijing.

Recent reports also suggested that Apple’s car contract may go to a joint venture between LG and Magna, the two of which partnered to produce EV components.

In recent months, Apple also lost three overseeing managers on the car project, only one of which remained in the EV field following departure.