Fire in Cheongna, Incheon, South Korea: Mercedes-Benz Electric Car Blaze
Battery Identity Revealed
Not CATL, but an Unknown Company?
A recent incident has further damaged the reputation of electric vehicles. On August 4, a fire erupted in a Mercedes-Benz EQE 350 parked in the underground garage of an apartment complex in Cheongna, Incheon, South Korea. The blaze quickly escalated, causing damage estimated at around $7.3 million.
Thankfully, no one was injured, but the extensive property damage has sparked widespread discussion. Initially, reports indicated that the car was equipped with an NCM 811 battery from China’s CATL. However, subsequent investigations have uncovered even more alarming details.
With a market share of less than 1%, it has faced numerous issues in the past
On Tuesday, South Korea’s Ministry of Land, Infrastructure, and Transport revealed that the Mercedes-Benz EQE involved in the recent fire was equipped with a battery from Farasis Energy, not CATL, as initially reported. Farasis, a Chinese electric vehicle battery manufacturer founded in 2009, holds a modest 0.87% market share in the local EV battery industry. Mercedes-Benz began its partnership with Farasis in 2018, including a battery order and a 3% stake in the company, to foster demand in the Chinese market.
However, ongoing quality concerns with Farasis batteries have led Mercedes-Benz to reassess the partnership. In 2021, a defect in Farasis batteries led to a recall of 31,963 vehicles from Beijing Automotive, with Farasis covering the recall costs. Additionally, an EQE 350 caught fire in Florida last year, raising further alarms. Due to these issues, Farasis faced significant financial strain, culminating in transferring management rights to the Chinese state-owned Guangzhou Public Management Group in December 2023.
Renewed scrutiny of Mercedes’ statements: They claimed CATL would supply the batteries…
In South Korea, concerns are growing that Mercedes-Benz may have misled consumers regarding the batteries used in their vehicles. When the EQE model was launched, it was advertised with CATL batteries. Christoph Starzynski, VP of car engineering and ex-boss of Mercedes-Benz’s electric vehicle platforms assured on April 19, 2022, that CATL supplies the battery cells mounted on the EQE, according to South Korean media such as Dong-A Ilbo.
Starzynski also addressed concerns about the reliability of Chinese batteries, stating, “Mercedes-Benz guarantees all issues, and basically, a 10-year, 500,000 km (310,685 miles) warranty is provided for batteries.” At that time, there was no mention of Farasis batteries. The recent revelation that the EQE was actually equipped with Farasis batteries, not CATL, has led to growing dissatisfaction among owners and raised suspicions of potential fraud.
Controversy over Mercedes-Benz Korea’s response: Customer service level criticized
The response from Mercedes-Benz Korea also draws criticism. According to a report by Seoul Finance on August 6, a Benz Korea official stated, “Since the accident investigation is still ongoing, it is difficult to confirm which company’s NCM battery was installed,” but added, “It is not CATL.” Meanwhile, South Korean online forums, including the Mercedes-Benz Club, are buzzing with posts from owners who say, “When I asked the customer service center about the battery in my car, I only received vague and unsatisfactory answers.”
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