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House Energy & Commerce Leaders Ask Ford About CATL Battery Deal

The chairwoman of the House Energy and Commerce Committee, along with 25 other Republicans, is asking Ford's CEO to explain its arrangement with Contemporary Amperex Technology Co., Limited (CATL) to build batteries for electric vehicles in Michigan.

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The letter, highlighted in a press release Sept. 5, asks Ford to explain why it licensed CATL's technology rather than operating a joint venture, and asks Ford to share communications with the Biden administration about whether these batteries would qualify for Inflation Reduction Act tax credits.

This letter follows several sent by the House Ways and Means Committee (see 2307210072); a spokesperson for Ways and Means didn't answer questions about how Ford had responded. That committee had given Ford an August deadline to respond to its second round of questions.

The September letter from the Energy and Commerce Committee and Chair Cathy McMorris Rodgers, R-Wash., said: "We seek to learn more about whether this partnership, and others like it, will potentially exacerbate our reliance on China. Should China gain control of domestic electric vehicle production, the United States would be exposed to serious national security risks at a time of escalating geopolitical tensions."

They asked Ford if the company considered a partnership with a non-Chinese company, and to explain why if not. They asked Ford why it partnered with CATL, and how many foreign employees would work at the new factory.

They also asked the CEO: "What steps did Ford take to prevent or limit CATL’s ability to halt production unilaterally, such as at the direction of the Chinese government?"