U.S. commercial EV maker, ELMS, has reached an agreement with Contemporary Amperex Technology Co., Limited (CATL) to supply batteries and secure production capacity needed for its all-electric Class 1 Urban Delivery commercial vehicle. The agreement secures battery supply through 2025.
CATL will provide a 42-kWh lithium-ion battery in the lithium-iron phosphate (LFP) chemistry system.
By leveraging CATL’s cell-to-pack (CTP) technology, the battery pack’s design improves system energy density, simplifies manufacturing and results in cost savings.
Additionally, both sides are collaborating on future battery localisation in the U.S.
ELMS’ first vehicle, the Urban Delivery, is the first Class 1 commercial electric vehicle in the U.S. market.
The company expects to begin production of its second vehicle, the Class 3 Urban Utility EV, in the second half of 2022.
Rob Song, Deputy Chief Financial Officer and Treasurer, ELMS, says: “We reached an important milestone to secure battery capacity in an extremely challenging supply environment,”This step allows ELMS to guarantee continued utilization of trusted, reliable vehicle components in our products.”
ELMS is headquartered in Troy, Michigan.