WASHINGTON - A senior Republican in Congress asked Tesla Tuesday to detail its relationship with Chinese battery manufacturer CATL amid concerns electric vehicle subsidies are flowing to foreign entities raising security concerns.
The chair of the House Ways and Means Committee, Representative Jason Smith, asked Tesla CEO Elon Musk in a letter if the EV maker has contracts with CATL or is considering contracts. Smith said the committee is concerned CATL "may be trying to negotiate other agreements like the agreement with Ford."
Republicans in Congress have been probing Ford's planned $3.5 billion investment to build a battery plant in Michigan using technology from CATL, the world's largest battery maker.
The auto industry is watching how new rules around future electric-vehicle tax credits will be implemented as they make investment decisions on producing batteries for their transition to electric vehicles.