Chinese battery manufacturer CATL is again seeking compensation in two patent infringement lawsuits against CALB, another Chinese battery company. CALB maintains its products do not infringe the disputed patents.
CALB said in a statement it is refuting a compensation claim of ¥60 million ($8.2 million) for economic losses plus costs as part of the lawsuits. It has also applied to the China National Intellectual Property Administration to have the claims thrown out.
The patents are:
- ZL201621122034.9 utility model patent on battery modules and
- ZL202210514746.9 invention patent on top cover component of secondary battery and secondary battery.
From January to October 2024, CATL had 37% of the global market share for EV batteries, according to SNE Research of South Korea. Its share is way ahead of all others. CALB’s market share was 4.8%.
CATL owns over 20,000 active granted patents and has enforced them by filing claims varying from unfair competition to trade secret misappropriation.
Lui Shen & Associates partner Michael Zhang (who has previously worked on CATL’s case against CALB), has reportedly said one reason why so many disputes occur is that China’s EV market has developed very quickly and batteries have become exponentially competitive.
Litigation is part of that competition to protect company interests and maintain market share. The larger the damages awarded for IP infringement, the more attractive enforcing rights becomes, he said.
CATL and CALB have been in litigation regularly since 2021. Analysts say BYD uses self-manufactured EV batteries for its EVs, so finds itself in fewer disputes with other parties.