In business, there are no eternal enemies, only enduring interests. Recently, CATL chairman Zeng Yuqun led a delegation to Xpeng’s Guangzhou headquarters, engaging in high-level discussions with CEO He Xiaopeng. This marks the first formal interaction since their 2021 fallout and is seen as an “ice-breaking journey” between a battery giant and an EV manufacturer.
In the past, Xpeng reportedly “camped” outside CATL to secure batteries amid tight supply, highlighting the intense supply-demand imbalance. At the time, Xpeng introduced secondary suppliers such as CALB and EVE Energy to reduce risk, creating a decentralized supply chain.
Today, with battery capacity in surplus, CATL proactively offers competitive prices and technology assurance. For Xpeng, the stability and advanced technology of a top-tier supplier remain the optimal choice, while secondary suppliers face increased market pressure.
This thaw is more than reconciliation—it signals a maturing EV supply-demand structure and a strategic realignment of leading players. In the era of stock competition, alliances between industry leaders emerge as the ultimate winners.
