According to four people familiar with the matter, AppleThe company is in preliminary talks with China's Ningde Times and BYD on the battery supply of its planned electric vehicles.
The people, who spoke on condition of anonymity, said the negotiations could change and it was not clear whether Apple would reach a deal with the Ningde era or BYD.
But according to two of the people, Apple has set up production facilities in the United States as a condition for becoming its battery supplier, which may be difficult for Chinese companies to accept. It is not clear whether Apple is also in talks with other battery makers.
Apple prefers lithium iron phosphate batteries with lower production costs because they use iron rather than more expensive nickel and cobalt, according to four people familiar with the matter.
It was reported in December that Apple had been working on self-driving technology and planned to produce a passenger car in 2024.
People familiar with the matter have previously said that Apple's planned electric cars could include its groundbreaking battery technology. It is not clear whether the negotiations with Ningde era and BYD involve Apple's own technology or design.