CATL sues Powin for debt

Contemporary Amperex Technology Co., Ltd. (CATL), the world’s largest producer of power batteries and energy storage batteries, has taken energy storage system integrator Powin to court. Powin is said to owe a total of approximately RMB 310 million (approximately $44 million) in battery orders for 2022 and 2023. Although CATL supplied batteries to Powin’s Chinese subsidiary Yangzhou Fengwei New Energy Technology Co., Ltd. (Finway), it did not receive full payment. Powin acknowledged in the contract that it owed approximately RMB 91 million (US$12.5 million) and promised to settle the debt by the end of October of that year. However, Powin only paid a 10% deposit, and the remaining RMB 216 million (US$29.7 million) has not been paid to date. CATL has initiated arbitration against Powin and its affiliates, accusing Powin of attempting to transfer assets in China.