A Trump-Proof IPO in Hong Kong by CATL

Contemporary Amperex Technology Ltd. (CATL), the world’s largest electric vehicle (EV) battery maker, defied geopolitical headwinds by launching a blockbuster IPO in Hong Kong. Shares surged as much as 18% on debut, opening at 296 Hong Kong dollars ($37.8), well above the subscription price of 263 HKD ($33.6), and peaked at 311 HKD. The listing raised $4.6 billion — the world’s largest IPO of 2025 to date.

This remarkable debut comes despite CATL being blacklisted by the U.S. Department of Defense in January, due to alleged ties with China’s military — a claim the company denies. Further pressure came from U.S. lawmakers, who urged investment banks JPMorgan and Bank of America to pull out of the IPO. Both banks stayed the course, underscoring investor confidence in CATL’s global prospects.

Robin Zeng, CATL’s chairman, emphasized that the Hong Kong listing strengthens the company’s integration with international capital markets. The firm, which supplies global automakers like Volkswagen and BMW, sees the IPO as a strategic step to fund overseas expansion. In 2024, over 30% of CATL’s revenue came from international markets.

Picture Credit: caixinglobal.com

The move is also seen as a way to bolster foreign currency reserves amid rising geopolitical risks and past U.S. tariffs initiated under former President Donald Trump. While CATL’s U.S. exports remain small, the company acknowledges evolving trade policies as a significant factor to watch.

With 13 factories worldwide and ongoing projects in Europe and Southeast Asia, CATL is accelerating its global footprint. Its latest battery breakthrough — enabling 320 miles of range on a five-minute charge — reaffirms its position at the forefront of EV innovation.

In an era of uncertain U.S.-China relations, CATL’s “Trump-proof” IPO sends a clear signal: global ambition trumps political turbulence.