The China Automotive Battery Innovation Alliance and the Zhongguancun Energy Storage Industry Technology Alliance on Monday jointly issued an initiative to standardize payment practices for power and energy storage battery suppliers.

The initiative calls for materials and components to be accepted within seven working days where conditions are met, with payment terms calculated from the delivery or acceptance date, according to a statement published Monday on Shanghai Metals Market.

CATL, CALB, and Sunwoda-all alliance members-committed to paying their suppliers for materials and parts within 60 days, The Standard reported Monday.

China's Ministry of Industry and Information Technology backed the move and said 11 battery makers have responded to the initiative, according to state media Xinhua News.

The ministry said it will coordinate across departments to address implementation issues swiftly, while promoting fair partnerships throughout the battery supply chain to keep the industry on a healthy, sustainable track.