US lawmaker scrutinizes Ford plan to produce batteries with technology from CATL

January 29, 2026 - 05:25

A senior U.S. lawmaker is intensifying scrutiny of Ford Motor Co.'s plan to utilize technology from China's Contemporary Amperex Technology Co. Ltd (CATL) for a new battery plant in Michigan. Representative Mike Gallagher, the Republican chair of the House Select Committee on China, has voiced serious national security concerns regarding the arrangement.

In a letter addressed to Ford CEO Jim Farley, Gallagher questioned the automaker's decision to license technology from the world's largest battery manufacturer, CATL. The core of the concern lies in the potential for the Chinese firm to gain access to American taxpayer subsidies and critical infrastructure while retaining control over key intellectual property. The proposed $3.5 billion plant in Marshall, Michigan, is set to produce lithium iron phosphate (LFP) batteries, a cheaper chemistry, and is slated to receive significant state incentives.

Gallagher's inquiry demands detailed information from Ford regarding the financial structure of the deal, the flow of taxpayer funds, and the extent of CATL's involvement in daily operations. This move underscores the growing political pressure on U.S. companies regarding their ties to Chinese entities, especially in the strategically vital electric vehicle supply chain. Ford has previously stated the project will create American jobs and help make EVs more accessible, but it now faces pointed questions from Capitol Hill.