Capitol News

Joseph Cella, Director of the Michigan-China Economic and Security Review Group, has expressed concerns over CATL's expanding international presence, citing national security and economic implications for the United States. This statement was made in an opinion piece.

"CATL's expansion poses a clear risk to U.S. interests," said Cella. "We must not allow Beijing to control critical technologies. There are serious national security concerns with Chinese battery dominance. The United States needs robust domestic supply chains."

According to a June 2024 report by the Congressional Research Service, CATL's dominance in the global electric vehicle (EV) battery supply chain has led U.S. policymakers to examine dependencies on Chinese firms for critical technologies. The report indicates that CATL and other Chinese companies control a significant portion of the world's battery cell manufacturing and critical mineral processing. U.S. legislative hearings have highlighted concerns about supply chain vulnerabilities and national security risks linked to foreign-controlled battery infrastructure.

In 2023, CATL accounted for more than one-third of the global market for EV batteries and was a leading supplier for several major automakers, as reported by S&P Global Mobility. U.S. automakers such as Ford and Tesla have entered into supply or licensing agreements with CATL for battery technology. S&P Global Mobility states that reliance on Chinese-made batteries remains a central issue as the United States aims to develop a domestic EV supply chain.

According to Reuters reporting from April 2024, the U.S. Department of Energy awarded $3.5 billion in grants to support domestic battery manufacturing facilities, with the goal of reducing dependence on Chinese suppliers like CATL. The article mentions that new restrictions under the Inflation Reduction Act disqualify EVs using batteries or minerals from "foreign entities of concern," including CATL, from receiving tax credits. These measures are designed to accelerate the creation of a domestic battery supply chain and limit exposure to China-based companies.

Joseph James Cella served as United States Ambassador to Fiji, Kiribati, Nauru, Tonga, and Tuvalu from 2019 to 2021. In 2023, Cella co-founded the citizen-led Michigan China Economic Security and Review Group, which monitors threats from the People’s Republic of China and the Chinese Communist Party at sub-national levels, where he currently serves as its Director. Cella has over twenty-five years of experience across public service, private sector, and nonprofit leadership roles.