GM to import EV batteries from China's CATL, source says
The arrangement is a stopgap for GM in the next couple of years as it works to manufacture its own lower-cost batteries made with lithium iron phosphate (LFP) chemistry, the source said.
"For several years, other U.S. automakers have depended on foreign suppliers for LFP battery sourcing and licensing. To stay competitive, GM will temporarily source these packs from similar suppliers to power our most affordable EV model," GM said in a statement.
The Detroit automaker added that it sells 12 EVs in the United States with domestically-produced battery cells, and in 2027 will bring LFP production to the U.S.
The Wall Street Journal earlier reported GM's plans to import the batteries.
Global automakers are facing stiff competition from Chinese EV makers and a trade war impacting imports of crucial parts, including rare earth materials, which has pushed production costs higher.
CATL didn't immediately respond to a request for comment.
GM's crosstown rival Ford (F.N), opens new tab is also making battery cells using tech from CATL to help reduce costs on EV batteries.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Reuters
2 minutes ago
- Reuters
How to confuse people with financial statistics
NEW YORK, August 8 (Reuters) - Inadvertent fumbles in the presentation of financial data have become endemic across the media space, which can confuse readers at a time when statistical literacy is more important than ever. Having a basic grasp of statistics and finance is especially crucial today, when updates of economic indicators are being weaponized in political battles and many companies are 'managing earnings,' sending their stock prices above the levels justified by their actual results. Statistical miscues, even when they're unintentional, can leave readers ill-equipped in our data-driven world. Consider this highlighted data point from an article in the July 20 New York Times business section: '2.7%, the rise in inflation in June from a year earlier.' Did inflation actually rise from a year earlier? Nope. Inflation is a rate, that is, a period-over-period change. In this case, 2.7% represents the year-over-year rise in the Consumer Price Index. Conceptually, if you paid $100 for a basket of goods in June 2024, you would have had to pay $102.70 for the same selection of items in June 2025. In short, 2.7% was the inflation rate for June 2025, not the rise in inflation. In fact, the inflation rate didn't rise at all in June 2025 versus June 2024. It fell by 0.3 percentage points. This matters because there already appears to be considerable confusion among Americans about what has happened with the inflation rate. For example, consumers may tell pollsters that inflation is still high even though it has declined considerably because they are focusing on the fact that prices are much higher than they were a few years earlier, not that they have stopped rising rapidly. Indeed, concerns about the price level – rather than changes in the inflation rate – appear to have played a role in reducing support for Democratic candidate Kamala Harris in the most recent presidential election, according to Johns Hopkins political economist David A. Steinberg., opens new tab STOCK V. FLOW Another type of financial misunderstanding has also been making the rounds lately: confusing a stock with a flow. In its recent 'Obscene Wealth Issue,' The New Republic wrote that the combined net worth of members of Donald Trump's administration would enable them to buy Denmark, using the country's $450-billion GDP as the price tag. This is like saying you could buy a high-tech company with sales of $1 billion for a price of $1 billion, when, in fact, the actual purchase price would be many multiples of sales. This confusion is similarly illustrated by an April 22 Washington Post headline: 'Trump's inner circle weighs push for higher taxes on millionaires.' Nowhere in the United States is there now, nor is there likely to be anytime soon, a 'tax on millionaires.' A millionaire is, by definition, a person whose net worth is $1 million or more. The administration was reportedly weighing whether it should endorse a tax hike on Americans earning more than $1 million a year. An individual earning $100,000 who regularly saved and invested prudently, eventually building up a net worth of $1 million, would not have been affected. A so-called millionaire tax would, however, be due from a spendthrift who runs through a $1 million-a-year income without managing to save anything. And it's not just media outlets that can slip up, but also their sources. A recent Bloomberg article described how some colleges are building seniors housing on their campuses and inviting the residents to enroll in courses. The article quotes Purchase College's vice president for administration, who notes that the 'income (from the senior living facility) is a relatively small part of Purchase's balance sheet.' Actually, that income is not a 'relatively small part' of the college's balance sheet, but rather no part. Income is instead a component of the income statement. And not to put too fine a point on it, but the annual payment from the retirement community is revenue. The associated income is calculated after deducting related expenses, including allocation of overhead. Once again, this is the difference between a stock – the assets and liabilities of an entity – and a flow – the entity's revenue and costs. So why is it important to understand this distinction? First, because making sense of companies' financial statements depends on it. For example, an investor who does not know a flow from a stock would likely be flummoxed to learn that a company lost $1 billion last year, yet only saw its shareholders' equity decline by $500 million. But this could be the case if this company sold $500 million of new shares during the period. Or consider that the financial news often speaks about both billion-dollar companies and billion-dollar industries. The former is an entity with a market valuation of $1 billion or more, and the latter refers to industries in which the combined sales of the companies total at least several billion dollars. Dealing with that sort of definitional inconsistency requires understanding the difference between a stock and a flow. Given that statistics are used to justify everything today, from a vote in a local election to a vote by a corporate board, it is essential that consumers, business leaders, and government policymakers have timely, accurate information and, just as important, that they all know how to interpret it. (The views expressed here are those of Marty Fridson, the publisher of Income Securities Advisor., opens new tab He is a past governor of the CFA Institute, consultant to the Federal Reserve Board of Governors, and Special Assistant to the Director for Deferred Compensation, Office of Management and the Budget, The City of New York). Enjoying this column? Check out Reuters Open Interest (ROI),, opens new tab your essential new source for global financial commentary. ROI delivers thought-provoking, data-driven analysis of everything from swap rates to soybeans. Markets are moving faster than ever. ROI,, opens new tab can help you keep up. Follow ROI on LinkedIn,, opens new tab and X., opens new tab
Daily Mail
2 minutes ago
- Daily Mail
We bought a new car with cash... the salesman wasn't happy and thanks to the finance scandal, I know why: LEE BOYCE
In 2018, my then pregnant wife and I decided we needed to upgrade the trusty, but small Ford Fiesta, for something bigger that would meet the rigours of our new everyday family life. We strolled into the dealership after much research and sat down to build our perfect model, with little luxury touches, like a leather interior, heated seats and a kick-boot, like proper middle-class adults. The salesman was friendly and helpful… until close to the end of our transaction. For whatever reason, the most crucial part of the sale had not been discussed – how we were paying for the £28,000 car. It was presumed by said salesman that we would put down a deposit, make monthly payments for three years, then either hand it back or make a balloon payment. And I do get it. Finance is how most cars are 'bought' in this country, because finding a five-figure sum of money is not exactly easy. But I've never liked the idea of being on a constant hamster wheel of returning a car after three years, getting a new one, being in an endless trap with the manufacturer. We'd saved hard for the car, topped up alongside a lump sum my wife had, with the idea being, we'd have it for at least 10 years as we'd look after it (we're seven years and 60,000 miles in – we've never had a major problem). We're also not flashy in the least – we're not bothered by material things, and just wanted a safer, bigger car, that's reliable and would suit a growing family. My thought process: that's £2,800 a year, or £233 per month for a decade to own the car, and that's excluding what we eventually get back for selling it on, which will shave a good chunk out of the above calculation. So back to the dealership. We said we were cash buyers, could we have a discount? And I can still picture his face dropping. He tried to persuade us to take finance, stating that the value of the car will drop as soon as we drove it off the forecourt. It's a funny business buying a new car isn't it – where else in life are we told an item will lose a chunk of value a minute after owning it? We were insistent. He was insistent. And I remember coming away thinking: 'I wonder if he would earn commission on a cash sale, like he would car finance?' What has transpired since from the car finance scandal is... probably not. He was clearly upset we'd decided not to finance the car through the in-house lender and his whole demeanour changed. As mentioned, I know we're in the minority here, not many can afford to fork out such a large sum upfront. But it highlights to me how rife pushy salespeople trying to squeeze as much money out of buyers on personal contract purchase (PCP) and hire purchase (HP) deals probably was. We've now had the Supreme Court ruling on 'mis-sold' car finance deals. As many as 6.6million people unwittingly signed up to a discretionary commission arrangement (DCA) between 2007 and 2021 – where they paid more in loan interest than they should have done, in a ruse which bumped up the commission salesmen could earn. What we can learn from this is: keep all paperwork, read contracts and terms and conditions with a fine-toothed comb, and never expect a salesperson to act in your best interest. There are also other ways to finance a car, such as taking out a personal loan, so it's vital to assess all options, not just be smooth-talked into an option that suits a company more than you as the customer. If you think you may have been unfairly treated, ignore the claims management firms and read this instead: How to work out if YOU can claim £950 from the car finance scandal - and what to do if you can't find the paperwork It appears this kind of behaviour was rampant for more than a decade and while it won't lead to the £44billlion worst-case scenario payout for lenders, it is still expected to cost them a huge £18billion. If you bought a car on finance in those 14 years, it is quite likely you paid more than you should have. Buying a car outright worked for us. It might not for you, but fingers crossed we'll have it for another 10 years, with one careful owner – and no shady underhand commission tactics lurking under the bonnet.
Reuters
32 minutes ago
- Reuters
Trump's Fed governor pick keeps US dollar under pressure
SINGAPORE, Aug 8 (Reuters) - The dollar was steady on Friday but poised for a weekly fall as U.S. President Donald Trump's temporary choice for a fill-in Federal Reserve governor stoked expectations for a dovish pick to replace chair Jerome Powell when his term ends. As concerns over softening U.S. economic momentum, especially in the labour market, boost hopes of Fed rate cuts, the dollar was down 0.6% on the week so far, against a basket of peers. On the day, the dollar index was little changed, at 98.1. Trump has nominated Council of Economic Advisers Chairman Stephen Miran for a newly vacant seat at the Fed, while the White House seeks a permanent occupant. Miran replaces Governor Adriana Kugler following her surprise resignation last week. While investors remain worried about the U.S. central bank's independence and credibility after repeated criticism from Trump for not cutting interest rates, some analysts feel Miran's appointment is unlikely to have a material impact. "We still maintain that central bank independence is going to be very much intact," said Raisah Rasid, global market strategist at J.P. Morgan Asset Management in Singapore. She expects the central bank to focus on incoming data and the overall health of the U.S. economy. Trump's scathing attacks on Powell and the likelihood of a dovish pick as the next Fed Chair have weighed on the dollar, although he recently backed off threats to oust Powell before his term ends on May 15. Fed Governor Christopher Waller, who voted for a rate cut in the Fed's last meeting, is emerging as a top candidate to be the next chair, Bloomberg news said on Thursday. Investor focus will now switch to next week's U.S. consumer price inflation data with economists polled by Reuters expecting month-on-month core CPI to have nudged higher to 0.3% in July. The data will offer clues to whether tariff-driven price pressures are materialising and shape the Fed's policy path. Atlanta Fed president Raphael Bostic said on Thursday while risks to the job market have increased, it remained too soon to commit to rate cuts, with more data lined up ahead of the Fed's policy review scheduled for September 16 and 17. Traders are pricing in a 93% chance of a rate cut in September, with at least two rate cuts priced in by the end of the year. The dollar has struggled broadly this year and is down 9.5% against a basket of major peers, as investors sought alternatives, worried over Trump's erratic trade policies. Analysts anticipate the dollar to remain under pressure but see the fall unlikely to be as steep. "We're looking for a bending but not breaking sort of scenario (on the dollar)," Rasid added. Sterling hovered near a two-week high at $1.3439, clinging to Thursday's sharp gains as the Bank of England cut interest rates but only after a narrow 5-4 vote, showing a lack of conviction in its easing bias. The vote split in the BoE meet "implies one of the most hawkish versions of a 25bp cut that reasonably could have been expected," analysts at Goldman Sachs said. The pound is on course for its best weekly performance since late June. The Japanese yen was flat at 147.1 a dollar and the euro was perched near a two-week high, as investors took comfort in the prospect of talks between the U.S. and Russia aimed at ending the war in Ukraine. Russian President Vladimir Putin and U.S. President Donald Trump will meet in the coming days, Kremlin aide Yuri Ushakov said on Thursday, for the first summit of the nations' leaders since June 2021.
