Mercedes-Benz dealers told to mention only China’s CATL battery cells in EVs: Report

Seoul, Oct 7
Mercedes-Benz car dealers in South Korea have apparently been trained by the company's local unit to tell customers that the automaker used battery cells produced exclusively by CATL in its electric vehicle (EV) models.

In the 2023 EQ Sales Playbook, Mercedes-Benz Korea's official dealer training material, dealers were instructed to mention CATL as the EV battery cell manufacturer when responding to customer inquiries. CATL is the global leader in EV battery sales, reports Yonhap news agency.

The topic of EV battery cell suppliers has been a closely watched matter within the auto industry recently, following a massive fire caused by a Mercedes-Benz EV that ended up damaging over 100 vehicles and destroying an underground apartment parking garage in Incheon, west of Seoul, in August.

To the surprise of many, battery cells used in the EV in question turned out to be from Farasis Energy, a Chinese firm known to be ranked at around 10th globally.

The training material also included a consultation scenario for addressing customer concerns about the safety of Chinese-made batteries. In sample responses, Mercedes-Benz Korea exclusively mentions CATL as the manufacturer of its EV battery cells.

A sample response states, "CATL is a Chinese company, but it has the most advanced technology in the global battery industry.” It also states, "Only thin battery cells, which are components of the finished battery product, are supplied by CATL, while the production of the finished battery is done at (Mercedes-Benz) headquarters in Germany."

Throughout the material, the company mentions only CATL as its battery cell supplier. According to the official Mercedes-Benz website, the company sells a total of eight passenger EV models. Since the fire incident, the company revealed that certain trims of the EQE and EQS models use batteries from Farasis Energy.

Mercedes-Benz Korea is currently under investigation by the Fair Trade Commission for allegations of providing false information related to EV batteries to customers.