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How Washington’s tag on China’s CATL could affect Tesla

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How Washington’s tag on China’s CATL could affect Tesla


By Michael Martina and Chris Kirkham

(Reuters) – Washington’s addition of CATL to a list of firms it says work with China’s military could put Tesla founder Elon Musk in a tight spot, challenging how he balances his role in the Trump administration with his ties to China.

CATL, the world’s largest battery maker, is a major supplier of lithium iron phosphate (LFP) batteries to Tesla for its Shanghai factory, the U.S. automaker’s largest. Tesla has been exporting these cars equipped with CATL batteries to other markets such as Europe and Canada.

Lawmakers have decried some of CATL’s battery storage projects across the United States, arguing they represent potential security threats. The U.S. market accounted for 4% and 35% of CATL’s electric vehicle (EV) and electric storage systems (ESS) batteries, respectively, in 2023, according to Citi estimates.

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The U.S. Department of Defense on Monday designated CATL and other Chinese companies including tech giant Tencent Holdings as linked to China’s military. While the designation does not involve any restrictions on CATL’s business, it can be a blow to the reputations of affected companies and serves as a stark warning to U.S. entities about the risks of doing business with them. It could also add pressure on the U.S. Treasury Department to sanction the companies.

Tesla and CATL are working on an agreement to license CATL technology for battery production in Nevada. A person familiar with the matter said that the deal is expected to launch in 2025.

CATL is also set to supply battery cells and packs to Tesla’s Shanghai plant for Megapack, its energy storage product, people familiar with the matter said. The two are also in talks over how CATL can increase its supplies as the Megapack business grows.

Tesla and Musk did not respond to requests for comment.

No near-term impact is expected for Tesla, but Seth Goldstein, a Morningstar analyst, said “being potentially excluded from military contracts may give everyone considering a partnership with CATL a pause.”

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Last February, under pressure from lawmakers, U.S. utility company Duke Energy said it would decommission energy-storage batteries produced by CATL at one of the nation’s largest Marine Corps bases and will phase out CATL products at its civilian projects.

Goldstein added he expects Tesla to continue its partnerships with CATL because of the importance of the company’s relationships with the Chinese government. Upending those ties “could potentially be worse than any political ramifications in the U.S.,” he said.



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Washington looking for solutions to looming water challenges | Cascadia Daily News

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Washington looking for solutions to looming water challenges | Cascadia Daily News


WOODINVILLE — For four straight years, at least parts of Washington have been in a drought, as snowpack has failed to meet historical norms amid climate change. 

This year, all of Washington is experiencing drought, after a wet winter scuttled by warmer temperatures, according to state officials.

Washington state leaders are looking for ways to deal with the ongoing water challenges, which state Ecology Director Casey Sixkiller calls “our new normal.” 

A new initiative, called Washington’s Water Future, will lead roundtable discussions across the state this summer, with recommendations delivered to Gov. Bob Ferguson before the 2027 legislative session begins in January. Local and tribal governments, utilities, industry leaders, environmental groups and community organizations will be at the table.

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Officials announced the effort Wednesday at King County’s Brightwater Treatment Plant near Woodinville.

“It’s clear we need to take steps to protect our water supply,” Ferguson said in a pre-recorded video. “We need secure water supplies so we can grow our economy, support our agriculture industry, protect healthy fish runs and preserve tribal resources.”

Sixkiller said the work is about whether Washington will shape the future of water in the state, or just react to it. 

“Washington is a water state,” Sixkiller said. “Water shapes our landscapes, our communities, our economy, and for many a way of life passed down through generations. We all know that where there’s water, there’s life, but these days, we don’t have to look very hard to see that our relationship with water is changing.”

Climate change is causing precipitation in the winter to fall more as rain than snow, with less stored naturally in the mountains for the summer, when farms and fish are competing for the dwindling resource. This system, dependent on snowpack, is becoming less reliable, Sixkiller said.

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By 2080, the Puget Sound region is expected to get less than half of its normal snowpack, with wintertime stream flows increasing by half and a corresponding drop in the summertime, the agency director said.

“The cost of inaction is already showing up in drought emergencies, flood damage, stressed salmon runs and uncertainty for communities trying to plan their future,” Sixkiller said.

Last year, the Department of Ecology took the unprecedented step to curtail surface water usage in the Yakima River Basin, where the effects of drought are more severe. The move has drawn accusations of mismanagement against the state. 

In an interview, Sixkiller said it’s too soon to say whether his agency will need to do the same this year, but noted the state declared a drought earlier than usual to give water managers in the area more time to prepare.

The statewide drought declaration last month unlocked $3 million in grants to respond to the effects.

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The harms already

The Yakima-Tieton Irrigation District, which serves 28,000 acres, is bracing for its canal system to “blow out” after a wildfire burned it in 2024, and subsequent flooding and debris slides further damaged it, said Jon DeVaney, president of the Washington State Tree Fruit Association.

“This is a clear example of the need to, not only plan long term, but be prepared to see that hole that we’re already in get a little bit deeper,” DeVaney said.

The low flows and higher temperatures are treacherous for Washington’s salmon. And fish hatcheries are grappling with dwindling water. The Suquamish Tribe, for example, hasn’t been able to expand a hatchery because of the lack of water, Chairman Leonard Forsman said.

Forsman, also president of the Affiliated Tribes of Northwest Indians, acknowledged the priorities when thinking about the future of water availability are “people and farms, and then fish habitat comes in later.”

“And we need to try to balance that,” he said. 

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Meanwhile, data centers the tech sector is building to support artificial intelligence and other technologies are also driving demand for water.

Some of the ideas

In responding to the state’s water needs, Sixkiller said “all solutions and all ideas are on the table.”

He was responding to a question about desalination, a process turning salt water into potable water that communities in more arid climates have turned to in addressing water shortages. Arizona, for one, is pursuing the idea. Sixkiller called the water scarcity in the American southwest a “very big red flag of what could happen here.”

The city of Lynden in Whatcom County has grown rapidly over the past 15 years, Mayor Scott Korthuis said. So the city, located along the Nooksack River, has had to find innovative approaches to securing water.

For one, the city now recycles discharged water from the local Darigold dairy plant into the river, as a source of drinking water.

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The city is also working on an aquifer recharge project to take water from the river during high flows and store it underground until it’s needed later. Sixkiller cited this type of work as an idea to be explored in the Washington’s Water Future roundtable discussions.

“There are a range of untapped solutions from different areas, from different ways to store water and to recycling,” Korthuis said, noting financial, legal and regulatory obstacles.

Aging water infrastructure that will need to be replaced or upgraded provides an opportunity for innovative solutions, Sixkiller said.

King County Councilmember Claudia Balducci noted the new initiative’s acronym matches that of the World Wrestling Federation, saying there will be some “smackdowns” in these discussions. The tongue-in-cheek comment worried state Rep. Davina Duerr, D-Bothell.

“I’m afraid it’ll be a smackdown on the Legislature for funding, and whatever else,” she said.

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Washington State Standard is part of States Newsroom, the nation’s largest state-focused nonprofit news organization.



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Community discusses installing locked gates at NYC’s Washington Square Park

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Community discusses installing locked gates at NYC’s Washington Square Park


Could one of New York City’s most iconic parks soon be surrounded by gates?

At a Wednesday night meeting of the local Community Board’s Parks Committee, tensions ran high over whether or not to install locked gates at Washington Square Park.

The historic Washington Square Arch welcomes visitors from near and far to the park, but when the clock strikes midnight, the police and Parks Department put up French barricades, cross-chained together, until 6 a.m.

Some residents, however, said the barricades aren’t aesthetically pleasing.

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“Now it’s time to replace the unattractive police barricades with appropriate gates that really represent the history of that park,” landscape architect George Vellonakis said.

French barricades, cross-chained together, are used to close New York City’s Washington Square Park from midnight to 6 a.m. daily.

CBS News New York


Others said the barricades aren’t effective at keeping people out. One resident shared a photo of a person sleeping overnight on a mattress in the park.

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Opponents, however, argued gates aren’t the answer to that issue, and some longtime residents said they hoped the park would be open 24/7.

“I think that the barricades have to go. I think they’re really, really ugly,” one person said. “They’re really hard for the Parks Department and the police to handle, and they don’t work.”

“Particularly Millennials and Gen Z will have these changes for the rest of their lives,” another person said. “I enjoy traveling other similar parks in Europe where you can walk at all hours of the night.”

Back in 2005, the Parks Department considered installing gates but canceled the plan after fierce opposition from the community. A Community Board member said the idea to install gates resurfaced during COVID when overnight gatherings in the park got out of hand.

“We are not anti-gate. We do believe that they should find more effective ways to support the NYPD,” Washington Square Association President Erica Sumner said.

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The committee voted on a resolution to formally ask the Parks Department for its recommendations.



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Washington Nationals recall Zak Kent

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Washington Nationals recall Zak Kent


The Washington Nationals recalled right-handed pitcher Zak Kent from Triple-A Rochester on Wednesday and optioned right-handed pitcher Andre Granillo to Triple-A Rochester on Tuesday. Nationals President of Baseball Operations Paul Toboni made the announcements.
Kent, 28, joins the Nationals after he was claimed off waivers from the Minnesota Twins on



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