German auto giant Mercedes-Benz will use BYD’s LFP Blade Batteries in its EVs, as reported by the Chinese newspaper CBEA citing an anonymous Benz official. According to the report, the first Mercedes-Benz to use BYD batteries will be the CLA Concept.
The CLA Concept was recently unveiled during the IAA Mobility Show in Munich earlier this month. Though the German automaker hasn’t shared technical details of this concept, it only revealed that the vehicle will have a 750 km WLTP range and will be underpinned by an 800V MMA platform. The concept is expected to hit the market in 2025.
This is not the first time Mercedes-Benz and BYD have worked together. A 50:50 joint venture called Denza was established by the two companies in 2010. Mercedes, however, left the joint venture in December 2021 and retained just a 10% stake in it. And things have picked up really well since BYD took over.
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Mercedes-Benz uses Nickel Manganese Cobalt (NMC) batteries for its electric vehicles. The energy density of NMC batteries is higher than that of lithium iron phosphate (LFP) batteries. But in addition to higher prices, there are other drawbacks: NMC uses a lot of precious metals, particularly cobalt, whose mining practices have drawn a lot of criticism.
On the other hand, LFP not only has a lower energy density, but it is cobalt-free and also cheaper. Recently, many EV makers moved to using LFP, including Tesla, who started using LFP batteries in its German-made Model Y, and some Model 3 variants. Tesla is not the only one, though.
Related: BYD will Supply Blade Batteries to Tesla, Toyota, Suzuki & Daimler
Toyota debuted its second electric vehicle, the bZ3 electric sedan, in China in April. It also comes equipped with a BYD LFP battery, motor, and numerous other BYD technologies. It was revealed last month that the Kia EV5, which is manufactured in China, will use a BYD LFP battery. Additionally, the Lincoln Nautilus and Lincoln Z hybrid vehicles from Ford and Lincoln will have BYD batteries in China.
The ICE CLA is marketed as an entry-level Mercedes with a young customer base. The CLA’s electric variant is seen as a direct rival to Tesla’s Model 3, which is the company’s most affordable EV. Mercedes’ decision to switch from the more expensive NMC batteries to LFP is therefore understandable. To what extent Mercedes-Benz will use the Blade battery from BYD—whether just for production in China or even for versions sold internationally—remains to be seen.
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