Shares of China’s leading electric vehicle battery maker jumped sharply on Tuesday as the CATL IPO surged on its Hong Kong debut. Contemporary Amperex Technology Co. Limited (CATL) trades in Shenzhen and raised $4.6 billion in Hong Kong’s biggest IPO this year.
The stock soared to 18% on its first trading day, signaling strong investor confidence despite rising geopolitical tension. CATL manufactures more than one-third of all-electric vehicle batteries sold worldwide and supplies major automakers like Tesla and Volkswagen.
The company’s success is closely tied to Beijing’s massive investments in clean energy and strategic independence initiatives. Founded in 2011 by Robin Zeng, CATL rapidly became a market leader thanks to policy support and relentless innovation.
Zeng, a self-made billionaire from Ningde, China, is now the country’s fifth-richest person and a known risk-taker in the tech world. His company’s latest battery technology offers 520 kilometers of range after just 5 minutes of charging, even in freezing temperatures.
CATL’s innovation outpaces competitors like BYD, whose top batteries deliver only 400 kilometers simultaneously. Its fast-charging, affordable batteries have fueled the explosive growth of China’s EV market, now the world’s largest volume.
Despite a recent sales slowdown caused by a domestic price war and weakened consumer demand, CATL continues to expand overseas. It operates factories in Germany and is building a second plant in Hungary to strengthen its European footprint.
CATL also signed international deals, including a $1billion lithium project in Bolivia and a Cobalt mine partnership in Congo. Plans for a $3.5 billion battery plant with Ford in Michigan sparked US national security concerns and political backlash. Still, analysts believe US tariffs will have minimal impact since 70% of CATL’s revenue comes from the Chinese market. As the CATL IPO surges, the company continues to lead in innovation.
