ELMS and CATL enter agreement that secures battery supply through 2025 for Class 1 Urban Delivery commercial electric vehicle
TROY, Mich. – Electric Last Mile Solutions, Inc. (NASDAQ: ELMS; ELMSW) (“ELMS” or “the Company”), a pure-play commercial electric vehicle (“EV”) company focused on redefining productivity and sustainability for the last mile, today announced major progress in its vehicle battery strategy with an eye towards potential U.S. localization of its electric vehicle batteries.
ELMS reached an agreement with Contemporary Amperex Technology Co., Limited (“CATL”), the global leader of new energy innovative technologies, 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, which has demonstrated high safety and reliability, as well as long cycle life. 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 localization in the U.S.
“We reached an important milestone to secure battery capacity in an extremely challenging supply environment,” said Rob Song, Deputy Chief Financial Officer and Treasurer, ELMS. “This step allows ELMS to guarantee continued utilization of trusted, reliable vehicle components in our products.”
About Electric Last Mile Solutions, Inc.
Electric Last Mile Solutions, Inc. (Nasdaq: ELMS) is focused on defining a new era in which commercial vehicles run clean as connected and customized solutions that make our customers’ businesses more efficient and profitable. 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. ELMS is headquartered in Troy, Michigan.
