CATL Defies US Denylist with $4.6B Hong Kong Debut
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Despite being placed on a US denylist, China’s battery giant CATL sees strong investor confidence and secures billions for its European growth plans.
MAY 20,2025
HONG KONG — Chinese battery powerhouse Contemporary Amperex Technology Co. Ltd. (CATL) surged on its first day of trading in Hong Kong, raising at least $4.6 billion (€4.08B) in a high-demand secondary listing that signals strong international investor interest.
The company, already listed in Shenzhen, priced its shares at HK$263 (€29.8) and saw them climb to HK$296 (€33.56) upon opening—a 12.5% jump. By mid-afternoon, shares had gained over 17%, underscoring global enthusiasm for clean energy investments despite ongoing US-China trade friction.
CATL Defies Strong Performance Despite US Denylist
Earlier this year, the US Defense Department added CATL to a denylist over alleged ties to China’s military—a claim the company strongly denied, calling it a “mistake.” While this move restricted participation from onshore US investors, many American institutions joined the offering via offshore accounts.
Efforts by US lawmakers to pressure JPMorgan Chase and Bank of America into cutting ties with the listing were unsuccessful. Both banks stayed on, and the IPO attracted backing from investors across 15 countries and regions, including sovereign wealth funds, long-term institutions, and multi-strategy funds.
Global Battery Leader Powering Forward
CATL held a dominant 38% share of the global EV battery market in 2024. It supplies major automakers like Tesla, Ford, Toyota, Volkswagen, BMW, Mercedes-Benz, and Honda. In 2024, the company reported CN¥55.3 billion (€6.8B) in profit—a 16.8% increase year-on-year.
In the US, Ford Motor Co. is licensing CATL’s technology for battery production. However, some lawmakers have raised concerns about potential access to US tax credits. Still, the partnership continues to move forward.
CATL Defies – European Expansion Plans Underway
CATL plans to invest the majority of its raised capital into battery factories in Germany and Hungary, allowing the company to localize production in Europe. This strategic move aims to bypass import tariffs and increase its market share in the region’s fast-growing EV industry.
A Step Closer to a Zero-Carbon Future
During the listing ceremony in Hong Kong’s Central business district, CATL Chairman Robin Zeng outlined the company’s long-term vision.
“Going public in Hong Kong deepens our connection with the global capital market,” said Zeng. “This is a key milestone as we push toward building a zero-carbon economy. We’re committed to becoming a global leader in clean energy and sustainable technology.” NOWTREND
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