Gotion Slovakia battery plant anchors new EU battery supply hub

Gotion Slovakia battery plant

Gotion Slovakia battery plant construction has begun, marking a major step in Europe’s race for local EV cell capacity. The Gotion Slovakia battery plant will be the country’s first gigafactory and a key node in China–EU battery supply chains. As a result, the Gotion Slovakia battery plant positions Slovakia as a new player in Europe’s electrification map.

Gotion Slovakia battery plant targets EU gigafactory scale

The first phase of the Gotion Slovakia battery plant will add 20GWh a year of lithium-ion capacity. Gotion plans pilot production in 2026, with commercial volumes starting in 2027 and feeding customers across EU markets. This timing aligns with accelerating European EV and energy storage demand, as automakers seek diversified cell suppliers.

Meanwhile, the Surany facility will be Slovakia’s first battery gigafactory, strengthening Central Europe’s role as an automotive manufacturing corridor. Products will likely support both passenger EVs and stationary storage, given Gotion’s broad lithium-ion portfolio. Therefore, OEMs and Tier-1 suppliers in the EU gain another large-scale, non-European cell source inside the single market.

Chinese battery makers accelerate overseas footprint

Gotion has rapidly expanded outside China, with projects in Morocco, Thailand, Japan and the US adding to 20 global plants. The company targets 300GWh a year of installed capacity by 2025, including 100GWh outside China, to serve regionalised EV supply chains. However, its planned Michigan cathode and anode plant was cancelled after policy disagreements with local authorities.

As a result, Europe and emerging markets now absorb more of Gotion’s outbound investment as geopolitical trade risks rise. Chinese battery makers are building overseas to diversify customers, reduce tariff exposure and align with “local-for-local” industrial policies. These projects also hedge against potential future export controls on advanced battery materials and equipment.

Export controls delayed but policy risk remains

China has postponed planned export restrictions on certain high-end lithium batteries, key equipment, cathode materials and artificial graphite. The one-year delay followed talks between Xi Jinping and Donald Trump and removes an immediate brake on Chinese firms’ overseas expansion. However, the episode underscores how quickly regulation can reshape the global battery value chain.

In the near term, Gotion and its peers gain critical time to lock in projects and qualify products with Western OEMs. Longer term, governments may still tighten controls around strategic battery technologies and materials. Therefore, assets like the Gotion Slovakia battery plant will be increasingly valued for their on-shore, policy-resilient capacity.

The Metalnomist Commentary

Gotion’s Slovakia project is another sign that gigafactory competition is shifting from pure cost to geopolitical resilience. For European automakers, Chinese-backed plants inside the EU offer cost-effective capacity but deepen strategic interdependence. The next question is whether Brussels and national governments will pair such investments with stronger upstream and recycling policies to secure the full battery value chain.

Stellantis NextStar Battery JV Exit Signals a New Shift in North American Battery Strategy

NextStar Battery

Stellantis NextStar battery JV exit marks another important shift in North American battery strategy. Stellantis will sell its 49pc stake in NextStar Energy to LG Energy Solution. The joint venture built Canada’s first large-scale lithium-ion battery plant in Windsor, Ontario. As a result, Stellantis NextStar battery JV exit shows that automakers are rethinking how they participate in battery manufacturing.

This move matters because NextStar was a major industrial project. Stellantis and LG Energy Solution invested more than C$5bn in the venture. Yet the ownership structure is now changing even as the plant remains strategically important. Therefore, Stellantis NextStar battery JV exit is not a retreat from batteries. It is a shift in how the company wants to access them.

Stellantis will remain a customer of the facility after the transaction. That means the company still wants battery supply, but no longer wants to own nearly half of the manufacturing platform. Consequently, Stellantis NextStar battery JV exit reflects a broader trend toward supply access without full operating exposure.

EV Battery Joint Ventures Are Moving Into a New Phase

EV battery joint ventures are no longer being treated as fixed long-term ownership models. Automakers are increasingly separating battery access from battery plant ownership. That change is becoming visible across North America. As a result, EV battery joint ventures are entering a more flexible and less traditional phase.

The Stellantis decision fits a wider pattern. Other major automakers have also restructured or exited battery partnerships. General Motors sold its Michigan battery JV stake to LG Energy Solution in 2025. Ford also changed the structure of its BlueOval SK partnership later that year. Therefore, Stellantis NextStar battery JV exit looks less like an isolated deal and more like an industry reset.

This shift likely reflects changing economics and strategy. Battery manufacturing is capital-intensive, operationally complex, and increasingly competitive. Automakers may now prefer to secure output through commercial agreements while leaving plant ownership and operation to battery specialists. Meanwhile, battery makers can broaden their customer base more easily under that structure.

North American Battery Strategy Is Becoming More Specialized

North American battery strategy is now moving toward clearer specialization between automakers and cell producers. After the ownership change, NextStar will serve a broader customer base, including the energy storage system sector. That gives the plant more flexibility than a single-customer automotive model. As a result, the facility may become commercially stronger even as Stellantis reduces direct ownership.

This matters because battery plants are no longer only tied to electric vehicle demand. Energy storage systems are becoming a second major growth market. A battery facility that can sell into both EVs and stationary storage may have better long-term utilization and lower concentration risk. Therefore, North American battery strategy is becoming more diversified at the customer level.

The broader lesson is clear. Automakers still need batteries, but they may not want to carry the same level of manufacturing ownership risk as before. Battery producers, meanwhile, can gain more control and expand into wider end markets. Consequently, Stellantis NextStar battery JV exit may signal a more mature phase in the North American battery buildout.

The Metalnomist Commentary

This deal matters because it shows the battery race is no longer only about building plants. It is now about deciding who should own them, run them, and absorb the risk. Stellantis still wants battery supply, but LGES now looks better positioned to turn NextStar into a broader industrial platform.

Tesla LGES Michigan Battery Plant Strengthens US LFP Supply for Energy Storage

LGES, Michigan Battery Plant

Tesla LGES Michigan battery plant plans mark a major step in the buildout of US lithium iron phosphate battery capacity. Tesla and LG Energy Solution have signed a supply agreement to develop a $4.3 billion LFP battery cell facility in Lansing, Michigan.

The plant is scheduled to begin production in 2027. It will supply battery cells for Tesla’s Megapack 3 energy storage systems, which the company plans to produce at its Houston megafactory.

The Tesla LGES Michigan battery plant also reflects a wider shift in battery demand. Stationary energy storage is becoming a larger driver of cell procurement as power grids absorb more renewable energy, data center demand, and industrial electrification.

Lansing Facility Repositions Former EV Capacity Toward Grid Storage

The Lansing project carries strategic significance because the facility previously formed part of a General Motors and LGES joint venture. LGES acquired GM’s stake for $2.1 billion after GM reduced electric vehicle-related capacity and investment.

This change shows how battery assets can be redirected as market priorities shift. EV demand remains important, but utility-scale storage is becoming a stronger growth channel for LFP chemistry.

The 50 GWh per year facility gives Tesla a large domestic cell supply base for Megapack 3. It also supports Tesla’s plan to begin Megapack 3 and Megablock production in Houston in 2026.

Tesla

LFP Chemistry Gains Ground in US Energy Storage Supply Chains

LFP battery cells are becoming increasingly important for energy storage systems because they offer cost, cycle life, and safety advantages for stationary applications. For Tesla, securing LFP supply in the US reduces exposure to imported cells and supports larger energy storage deployments.

The Tesla LGES Michigan battery plant also strengthens LGES’s position in the US battery value chain. By converting a former EV-focused site into a major LFP supply point, LGES can serve a market where demand is tied to grid infrastructure rather than only vehicle sales.

Tesla’s Megapack business is already scaling. The company sold $430 million of Megapack products in 2025 to xAI, its sister company and Elon Musk’s artificial intelligence startup, highlighting the link between energy storage and rising power demand from AI infrastructure.

The Metalnomist Commentary

This agreement shows that battery supply chains are no longer being shaped only by electric vehicles. Grid storage, AI power demand, and domestic manufacturing policy are becoming equally powerful forces.

CATL Shandong Battery Plant Launches First Phase of Production

CATL

China’s leading battery manufacturer CATL has launched the first phase of its new Shandong battery plant, marking a major step in regional capacity expansion. The plant, located in Jining city, is CATL’s first battery production complex in north China and the largest to date in the region. With a capacity of 60GWh per year for power and energy storage batteries, the CATL Shandong battery plant reinforces the company’s strategy to meet surging global demand for EV and grid-scale storage systems.

New Capacity Supports TWh Ambitions and Market Dominance

The second and third phases of the Shandong facility are scheduled to be commissioned in 2024 and 2025, though capacity details remain undisclosed. Meanwhile, CATL is also constructing a 40GWh/year plant in Dongying, China’s largest oil refining hub. These developments support CATL’s plan to add 219GWh of new capacity globally. As a result, the company’s total production is forecast to reach between 700GWh and 1,000GWh by 2025, potentially making CATL the first TWh-scale battery manufacturer in the world, according to market analysts.

Soaring Battery Demand Drives Upstream Lithium Demand

According to IEA data, global demand for EV and energy storage batteries approached 1TWh in 2024. This growth continues to drive upstream consumption of lithium carbonate, as each GWh of lithium iron phosphate (LFP) battery production requires roughly 600 tonnes of lithium carbonate equivalent. As the CATL Shandong battery plant and others ramp up production, the lithium supply chain will face additional pressure, reinforcing the strategic importance of vertical integration and raw material security across the battery industry.

The Metalnomist Commentary

CATL’s aggressive expansion in Shandong underscores its intent to dominate both EV and grid-scale storage markets. As TWh-level production nears, supply chain resilience—particularly in lithium—will determine the company’s long-term cost advantage and market leadership.

EnerSys Tijuana Battery Plant Closure Shifts Production to US TPPL Facility

EnerSys

EnerSys Tijuana battery plant operations will close as the US-based stored energy systems supplier shifts production to its thin plate pure lead facility in Springfield, Missouri. The move reflects a broader strategy to increase US manufacturing and reduce exposure to tariff risk.

The company said the transition will support greater use of advanced US manufacturing tax benefits. It also positions EnerSys closer to domestic customers at a time when supply chain security and local production have become more important in battery markets.

EnerSys Tijuana battery plant closure also marks a technology shift. The company is moving away from conventional lead-acid battery production in Mexico toward TPPL technology, which it says offers higher power density and stronger discharge performance.

TPPL Technology Strengthens EnerSys’ Domestic Manufacturing Position

TPPL batteries are an advanced form of lead-based energy storage. They are designed to deliver higher power output, faster recharge capability, and improved performance compared with traditional flooded lead-acid systems.

For EnerSys, the Springfield facility gives the company a platform to scale higher-value battery production in the US. This can support applications where reliability, power density, and performance under demanding conditions matter.

The move also fits a wider industrial trend. Battery manufacturers are increasingly reshoring or regionalising production to qualify for incentives, lower tariff exposure, and improve supply certainty.

Tariff Risk and Tax Benefits Reshape Battery Supply Chains

EnerSys Tijuana battery plant closure shows how policy incentives are influencing manufacturing footprints. The company is seeking to maximize advanced US manufacturing tax benefits while reducing uncertainty linked to potential tariffs.

This matters for the broader lead battery supply chain. Domestic TPPL production could increase demand for refined lead, lead alloys, separators, battery components, and recycling-linked feedstock inside the US.

The decision also highlights that energy storage strategy is not only about lithium-ion batteries. Lead-based technologies remain important in backup power, industrial systems, telecom, defense, transportation, and critical infrastructure applications.

The Metalnomist Commentary

EnerSys’ move shows that battery supply chain reshoring is spreading beyond lithium-ion. Policy incentives, tariff risk, and performance upgrades are now reshaping even mature lead-based battery manufacturing.

NETC LFP battery plant launches in Gansu to scale China’s energy storage supply

NETC

The NETC LFP battery plant has broken ground in Lanzhou, Gansu. The NETC LFP battery plant will add 30 GWh/yr in three phases. The NETC LFP battery plant targets fast-growing grid storage and EV demand in China.

Phase-by-phase build and product mix

NETC will invest 9bn yuan to build the facility. The first phase installs four LFP lines for energy storage cells. Two lines are 314Ah, and two lines are 30Ah. Further details for later phases were not disclosed. The staged approach limits execution risk and enables faster revenue.

China’s LFP dominance and NETC’s footprint

China produced 831.1 GWh of batteries in January–July. LFP held 79% of Chinese output over that period. LFP also neared half of global EV batteries in 2024. NETC is expanding on multiple fronts to ride this trend. It is building a 10 GWh plant in Anqing. It is also constructing a 21 GWh plant in Chuzhou. Seven GWh of the Chuzhou capacity is already online.

The Metalnomist Commentary

NETC’s Lanzhou build strengthens western China’s battery corridor. The cell formats signal a storage-led ramp, with automotive optionality. Watch procurement for lithium salts, iron phosphate, and copper foil as lines come online.

Hyundai Motor and LGES Jointly Complete EV Battery Plant in Indonesia

This photo provided Hyundai Motor Group shows an aerial view of HLI Green Power, an EV battery plant built jointly with LG Energy Solution in Indonesia

Hyundai Motor Group announced the completion of its electric vehicle (EV) battery plant in collaboration with LG Energy Solution in Indonesia. This development marks a significant step in establishing a fully-integrated EV production system in the Southeast Asian nation. The Hyundai LG Indonesia Green Power (HLI Green Power) battery plant, located in Karawang New Industry City, will supply battery cells for the mass production of the KONA Electric EV at Hyundai's local manufacturing plant starting this month.

The establishment of this plant enables Hyundai to leverage a local, integrated production system, enhancing its strategic position in the Southeast Asian EV market. Production at HLI Green Power began in the second quarter of this year.

A grand completion ceremony was held, attended by 300 dignitaries, including Indonesian President Joko Widodo and key officials from both nations. Hyundai Motor Group's executive chair Euisun Chung highlighted the collaboration’s success in his speech, emphasizing the joint efforts in shaping the future of the EV ecosystem globally.

HLI Green Power, spanning 320,000 square meters, boasts advanced facilities with an annual output capacity of 10 gigawatt-hours, supporting over 150,000 EVs. The battery cells will be utilized not only in Hyundai’s Indonesian plant but also in various Hyundai and Kia models worldwide. Following the Ioniq 5, the KONA Electric is expected to significantly impact the Indonesian EV market.

Indonesia aims to achieve carbon neutrality by 2060 and plans to produce 600,000 EVs by 2030. Hyundai Motor Group is committed to furthering cooperation with Indonesia in other innovative areas, including hydrogen solutions and future air mobility.

Shidai Ruixiang Launches LMFP Battery Material Plant in Gansu

Baiyin Nonferrous Group

China’s Shidai Ruixiang has launched a new LMFP battery material plant with a production capacity of 20,000 tonnes per year. Located in Baiyin city, Gansu province, this marks the first phase of what will become the world’s largest LMFP facility. Once complete, the site will scale to 100,000 t/yr in lithium ferro-manganese phosphate production for next-generation EV battery applications.

The LMFP battery material plant is operated by Shidai Ruixiang, a joint venture between Gansu Elephent Energy and Baiyin Nonferrous Group, a major Chinese state-owned metals producer. The full project will be developed in three phases, although details for the next stages remain undisclosed. This launch reinforces China’s dominant position in advanced battery cathode material (CAM) supply chains.

China Expands LMFP Footprint in Global EV Market

LMFP materials offer higher energy density and longer driving range than traditional LFP cathodes, while keeping manufacturing costs low. However, they have shorter life cycles and reduced charge-discharge capacity, making them more suitable for mid-range EVs or power tools. Despite this, China’s battery sector is accelerating investment in LMFP research and production.

Other major CAM players such as Hunan Yuneng and Ningbo Ronbay are also expanding LMFP production. Ronbay announced a dual LMFP and sodium-ion CAM plant in Xiantao, Hubei, while Yuneng is constructing a dedicated LMFP facility. These efforts position LMFP as a potential mainstream solution for future battery platforms balancing cost, safety, and range.

Strategic Role of State-Backed Metals Companies in CAM Expansion

The Shidai Ruixiang LMFP battery material plant highlights growing integration between state-backed metals enterprises and energy storage innovation. Baiyin Nonferrous brings decades of expertise in copper and zinc processing—critical metals for battery infrastructure—into the cathode materials space. The partnership reflects China's strategy to leverage existing industrial assets for clean tech scalability.

As battery chemistries diversify in response to cost and performance demands, China’s control over both upstream raw materials and downstream manufacturing provides a distinct competitive edge in the global energy transition economy.

The Metalnomist Commentary

The LMFP battery material plant in Gansu represents a strategic shift toward diversified CAM solutions for scalable EV deployment. As Chinese producers push LMFP into the mainstream, global automakers and battery buyers will need to weigh performance trade-offs against cost and availability.

China’s Jiaozuo Orient to build battery-grade zirconia plant

Jiaozuo Orient, ZrO2 plant

China’s Jiaozuo Orient to build zirconia plant to target fast-growing battery materials demand. China’s Jiaozuo Orient to build zirconia plant with 10,000 t/yr designed capacity for battery-grade, high-purity composite zirconia. As a result, the company positions itself for solid-state battery supply chains.

China’s Jiaozuo Orient to build zirconia plant in Jiaozuo, Henan, after receiving project approval on 5 January. The subsidiary sits under Guangdong Orient Zirconic, China’s largest zirconium producer. Meanwhile, the plan supports a broader downstream expansion strategy across zirconium chemicals and ceramics.

Battery-grade zirconia capacity targets LLZO and solid-state battery adoption

High-purity composite zirconia supports advanced battery materials. LLZO, a lithium lanthanum zirconium oxide electrolyte, uses high-purity zirconium inputs. Therefore, zirconia investments now track solid-state battery pilot lines and future scale-up.

The new site will be built in two phases. Each phase will add a 5,000 t/yr production line. However, the second phase timing will depend on market demand and commercial traction.

Integrated zirconium feedstock chain strengthens cost and quality control

China’s Jiaozuo Orient to build zirconia plant alongside an upstream feedstock buildout. A sister subsidiary plans a 60,000 t/yr battery-grade zirconium oxychloride project. As a result, the group can run an integrated chain from oxychloride to high-purity zirconia.

This integration can lower conversion risk for customers. It can also improve traceability and consistency for battery-grade specifications. Meanwhile, the group reinforces its technology position in zirconium processing.

The project budget totals 300mn yuan, with a 32-month construction period. The scale remains modest versus bulk industrial zirconia. However, battery-grade quality and purification steps often drive higher value per tonne.

The Metalnomist Commentary

Battery-grade zirconia looks like a strategic hedge on LLZO timelines. However, demand could stay lumpy until solid-state batteries move beyond pilot volumes. Producers that integrate feedstock and purification will capture early qualification wins.

Hyundai Georgia battery plant delay: production unaffected

Hyundai Georgia

Hyundai Georgia battery plant delay extends construction by two to three months after a federal worksite raid. However, Hyundai says vehicle output remains unaffected across US plants. The Hyundai Georgia battery plant delay follows ICE and FBI detentions of 475 workers and halted site work. South Korea repatriated more than 300 nationals after the operation.

What changes for US EV supply chains

Hyundai Georgia battery plant delay does not disrupt near-term EV supply, thanks to diversified cell sourcing. Meanwhile, the De Soto site remains strategic for future capacity and logistics. As a result, Hyundai prioritizes contractor audits, workforce vetting, and timeline buffers to reduce ramp risk. The company also reiterates no change to current US vehicle manufacturing plans.

Policy scrutiny now shapes gigafactory execution as much as equipment delivery. Therefore, federal oversight and local training programs will influence schedule certainty. Former President Trump urged visas for experts to train US crews, highlighting a technical skills gap. Automakers will likely expand apprenticeships and partner colleges to accelerate battery workforce readiness.

The Metalnomist Commentary

Short delays rarely move EV output, but they expose weak links in labor compliance and specialty skills. Expect tighter contractor governance and earlier talent pipelines to become standard in US battery projects.

EVE Energy Malaysia energy storage battery plant advances with 10–15 GWh expansion

EVE Energy

EVE Energy Malaysia energy storage battery plant enters Phase 2 with 10–15 GWh capacity. EVE will invest 8.654bn yuan to build the expansion in Malaysia. Construction will take 2.5 years, targeting completion within 30 months. The project strengthens domestic ESS supply for Southeast Asia and global customers. EVE Energy Malaysia energy storage battery plant also secures LFP feedstock from Jiangsu Lopal.

A Southeast Asia ESS hub takes shape

Phase 1 already produces cylindrical cells for power tools and two-wheelers. The February start-up created EVE’s first overseas battery manufacturing footprint. Its 680mn units per year capacity underpins future ESS scale-up. Meanwhile, Phase 2 focuses on grid-scale LFP batteries for storage. Together, both phases support module makers and utility developers.

Supply chain and technology implications

The LFP platform offers stable chemistry, safety, and competitive cost. Therefore, it suits energy storage systems with long-cycle requirements. Secured cathode supply reduces volatility and enhances bankability for offtake. As a result, EVE can serve ASEAN data centers and utilities. EVE Energy Malaysia energy storage battery plant aligns with regional industrial policy goals.

The Metalnomist Commentary

EVE’s Malaysia move deepens LFP-based ESS capacity outside China and diversifies supply. Execution on timelines, feedstock logistics, and local talent will determine competitiveness against rival gigafactories.

Yuneng CAM battery plant in Malaysia targets booming LFP demand

Yuneng

China’s Hunan Yuneng will build the Yuneng CAM battery plant in Malaysia to serve surging overseas demand. The $133mn project will add 90,000 t/yr of cathode active material capacity. The Yuneng CAM battery plant in Malaysia positions the company closer to EV and energy-storage customers.

Capacity, timeline, and market rationale

Yuneng will invest 950mn yuan to establish a wholly owned Malaysian subsidiary. Construction will take 15 months after approvals. The Yuneng CAM battery plant in Malaysia leverages Asean trade access and logistics advantages. LFP batteries now win on cost and durability, boosting global adoption. Major automakers are embracing LFP cells across mass-market models.

Yuneng’s growth and the wider China CAM push

Yuneng ran at 101% utilization in 2024, producing 735,462t of LFP. It sold 710,565t, with 41% shipped to energy storage projects. Overseas capacity hedges policy risk and potential domestic oversupply. Meanwhile, Chinese peers expand abroad to diversify supply chains. Lopal launched Indonesian LFP output in 2024, and Ronbay plans a European line. Easpring is building CAM in Finland, while XTC and Orano advance CAM facilities in France.

The Metalnomist Commentary

Yuneng’s Malaysian move strengthens regional sourcing for EV and ESS cathodes. Watch siting, permitting, and feedstock procurement during execution. If timelines hold, Southeast Asia gains strategic weight in the global LFP ecosystem.

Queensland vanadium electrolyte plant investment backs Australia’s flow battery ambitions

Queensland Vanadium Plant

Queensland vanadium electrolyte plant investment signals a stronger push into long duration energy storage in Australia. The state government has committed A$10mn to Vecco’s Julia Creek mine and Townsville vanadium electrolyte plant. As a result, the Queensland vanadium electrolyte plant investment aims to anchor a domestic supply chain from ore to vanadium redox flow batteries.

Queensland vanadium electrolyte plant investment will support Australia’s first commercial scale electrolyte facility in Townsville. Vecco plans to build a 300 MWh per year plant starting in 2026, with operations targeted for 2028. This will scale up from its existing 35 MWh per year Townsville unit, which already produces vanadium electrolyte. Therefore, Vecco can leverage operational experience as it ramps to larger industrial volumes.

Julia Creek mine links vanadium ore to battery electrolyte

The Julia Creek mine forms the resource backbone of the Queensland vanadium electrolyte plant investment. Vecco plans to open the 8,700 t per year vanadium pentoxide operation in 2027. The mine will supply feedstock directly to the larger Townsville electrolyte plant, closing the loop between mining and chemicals.

This integrated structure reduces reliance on imported vanadium intermediates and marketing risk. Meanwhile, it supports Australia’s broader critical minerals strategy focused on value added processing, not just ore exports. Over the life of the project, Vecco aims to position Julia Creek as a stable source for flow battery grade vanadium.

Queensland vanadium electrolyte plant investment also fits into a wider end to end supply chain vision. Vecco, Sumitomo Electric and Idemitsu Australia signed a 2024 agreement to develop and sell vanadium redox flow batteries. Therefore, vanadium units from Julia Creek could ultimately flow into installed energy storage systems across Australia.

Building a regional hub for vanadium redox flow batteries

Queensland is using the Queensland vanadium electrolyte plant investment to establish Townsville as a vanadium processing hub. Since 2021, the state has been developing a shared use vanadium processing facility to support smaller miners. This shared infrastructure should lower entry barriers and encourage more junior projects to progress.

At the same time, the Townsville electrolyte plant will target utility and industrial scale storage markets. Vanadium redox flow batteries offer long cycle life and deep discharge, which suit grid firming and renewable integration. However, they require secure supplies of high purity vanadium electrolyte to remain competitive with lithium ion systems.

Queensland’s support for Vecco, alongside Japanese partners, strengthens cross border industrial ties. It also diversifies vanadium production away from traditional suppliers in China, Russia and South Africa. As a result, the Queensland vanadium electrolyte plant investment could reshape regional vanadium trade and pricing dynamics over time.

The Metalnomist Commentary

This move shows how relatively modest public capital can unlock strategic value in long duration storage supply chains. By backing integrated mining and electrolyte production, Queensland improves the bankability of vanadium redox flow projects and attracts Japanese technology partners. Market participants should watch how fast offtake and project pipelines grow, as this will determine whether Townsville becomes a genuine Asia Pacific hub for vanadium battery materials.

Vulcan Frankfurt LiOH processing plant secures key permit in Germany

Vulcan Energy Resources

The Vulcan Frankfurt LiOH processing plant has cleared a major regulatory hurdle with its new German construction permit. The 24,000 t/yr lithium hydroxide monohydrate facility will sit in Frankfurt and anchor Vulcan’s European battery strategy. As a result, the Vulcan Frankfurt LiOH processing plant moves closer to supplying regional cathode and EV manufacturers with local low-carbon lithium.

Vulcan plans to fund the Vulcan Frankfurt LiOH processing plant during July–December 2025. However, the company must raise sufficient capital by 31 December to retain €104mn in German government grants awarded in late July. This deadline adds urgency to financing discussions and underscores Berlin’s support for EU battery value chains. Vulcan will feed the plant with lithium chloride from its Landau extraction project in southwest Germany, creating an integrated domestic supply route.

Offtake-backed model underpins Vulcan’s project financing

Long term offtake contracts provide a strong commercial base for the Vulcan Frankfurt LiOH processing plant. Vulcan has committed 182,000t of LiOH over ten years to LG Energy Solutions, Umicore and Stellantis. Therefore, a significant portion of future output is already locked into Tier-1 battery and automotive customers.

In addition, Vulcan is negotiating a fourth offtake deal it expects to sign by year end. This additional contract should further support project finance discussions with lenders and strategic investors. Meanwhile, Stellantis has already backed the Frankfurt plant through a $50mn equity investment in 2022, becoming Vulcan’s second-largest shareholder. This mix of offtake, strategic capital and grants gives the project a diversified funding stack.

Frankfurt LiOH plant targets 2027 start within EU battery buildout

Project timelines show how the Vulcan Frankfurt LiOH processing plant fits into Europe’s broader battery expansion. Vulcan began producing LiOH at a Frankfurt demonstration plant in November 2024 to de-risk technology and qualification. The company now targets commercial production at the full-scale facility in 2027, subject to successful financing.

Meanwhile, the integrated Landau–Frankfurt flow sheet aims to deliver lower-carbon lithium to EU customers. This is increasingly important as battery passports, ESG scoring and local content rules shape sourcing decisions. Therefore, the Vulcan Frankfurt LiOH processing plant could become a flagship European lithium hub if execution stays on track.

The Metalnomist Commentary

Vulcan’s progress confirms that offtake-backed lithium chemicals projects with strong policy support remain bankable, even in a volatile capital market. The key test now is whether Vulcan can close funding in time to secure German grants and hit its 2027 start date. For cathode producers and OEMs, Frankfurt’s eventual ramp-up will be a critical signal for how fast Europe can localise strategic lithium chemicals.

LGES to Acquire GM’s Stake in Michigan Battery Plant

Ultium Cells

LGES Expands Battery Footprint in the U.S.

LG Energy Solution (LGES) will acquire General Motors' (GM) stake in the Ultium Cells joint battery plant in Lansing, Michigan. The $2.08 billion deal comes from a non-binding agreement signed in December 2024, according to both companies. This acquisition allows LGES to take full control of the nearly completed plant while GM retains its position in other Ultium ventures.

Strategic Shift Aims for Cost-Efficient Expansion

The move is part of LGES’s broader effort to reduce the investment burden while enhancing facility efficiency. GM confirmed it will still source EV batteries from Ultium Cells’ existing plants in Warren, Ohio, and Spring Hill, Tennessee. This approach enables GM to meet growing EV demand while LGES consolidates control over its Michigan asset.

U.S. Battery Market Competition Intensifies

As the U.S. accelerates its energy transition, this acquisition reflects increasing consolidation in the battery manufacturing sector. Meanwhile, LGES continues investing globally, including in Arizona and Indonesia, to scale production.

The Metalnomist Commentary

LGES’s strategic buyout of GM’s stake aligns with its push to dominate the North American battery landscape. As U.S. EV adoption climbs, full ownership of the Lansing plant strengthens LGES’s operational flexibility while helping GM preserve critical supply chain partnerships. The deal may also preemptively shield LGES from potential future policy or sourcing restrictions.

Indonesia Battery Ecosystem Project Moves Forward With New Chinese Partnership

Aneka Tambang

The Indonesia battery ecosystem project is moving into a new phase with a fresh Chinese partnership. Antam, Industri Baterai Indonesia, and HYD Investment signed a framework agreement to develop an integrated battery ecosystem in Indonesia. This follows the exit of LG Energy Solution in 2025. As a result, the Indonesia battery ecosystem project remains alive and strategically important.

The change in partners matters because the project scale remains significant. Antam said the planned investment value is around $5-6 billion. A joint feasibility study will now define the next steps. Therefore, the Indonesia battery ecosystem project is shifting from partner transition into renewed execution planning.

HYD brings a strong industrial base to the table. The consortium includes Zhejiang Huayou Cobalt, EVE Energy, and Daaz Bara Lestari. That mix adds processing, battery, and investment capability. Consequently, the project gains a broader foundation across the battery value chain.

Indonesia Nickel Battery Chain Expands From Ore to Cells

The Indonesia nickel battery chain is central to this project’s logic. Planned facilities include an RKEF plant with 100,000 t/yr of nickel metal equivalent capacity. The project also includes an HPAL plant with 50,000 t/yr of nickel metal equivalent capacity. Therefore, upstream and midstream nickel conversion remain core pillars.

The downstream ambition is equally important. The project is expected to produce 105,000 t/yr of precursors and 30,000 t/yr of cathode materials. It also aims to build 20 GWh per year of nickel-based battery capacity. As a result, the Indonesia battery ecosystem project goes well beyond raw material processing.

Battery recycling also appears in the plan. The proposed recycling capacity is capped at 10,000 t/yr. That addition supports a more circular industrial model. Meanwhile, Antam will supply the nickel ore required for the project.

Antam Battery Project Reinforces Indonesia’s Downstream Strategy

The Antam battery project fits directly into Indonesia’s long-term downstream policy. Jakarta wants to build a local battery industry from mining to refining to final battery production. This new agreement supports that goal with another large integrated platform. Therefore, the project has national strategic value, not just commercial relevance.

This also shows Indonesia’s flexibility in partner management. LGES may have exited, but the broader industrial objective did not disappear. Instead, the project has been restructured around a new consortium. As a result, Indonesia continues pushing its battery ambitions despite partner turnover.

Antam’s role is becoming even more central. The company is involved in this project and also has a separate EV battery joint venture with CATL. That CATL-linked venture is expected to start operations by 2026. Consequently, Antam is emerging as one of the key anchors in Indonesia’s nickel battery chain.

The Metalnomist Commentary

This partnership matters because it shows Indonesia’s battery strategy is bigger than any one foreign partner. The country is still determined to convert nickel strength into downstream battery power. If execution improves, Indonesia could become one of the most integrated battery manufacturing hubs outside China.

CATL battery bond issuance to fund global capacity expansion

CATL Battery

CATL battery bond issuance plans are moving into focus. CATL said it will raise up to 10bn yuan, or $1.4bn. Therefore, CATL battery bond issuance will support construction and working capital.

The company did not name specific projects. However, the funding aligns with its accelerating capacity buildout. As a result, CATL battery bond issuance supports both near-term liquidity and long-cycle investments.

China buildout targets multi-site gigafactory scale

CATL is expanding its domestic footprint across multiple provinces. It is building a 100GWh per year plant in Jining. Meanwhile, it is developing a 40GWh per year project in Dongying.

The company is also pushing scale in Xiamen with an 80GWh per year project. Therefore, CATL battery projects in China keep absorbing capital and execution capacity. This pipeline also tightens competition for equipment and upstream materials.

Overseas plants deepen CATL’s supply chain footprint

CATL continues to localise production outside China. It started building an LFP battery plant in Aragon on 26 November. Meanwhile, it already operates a 14GWh per year plant in Germany.

CATL is building a 100GWh per year plant in Hungary that should start in early 2026. It also expects a 15GWh per year plant in Indonesia to begin production in 2027. As a result, CATL global battery capacity is shifting closer to end markets.

The Metalnomist Commentary

Bond funding often signals confidence in sustained battery demand. However, margin pressure can rise if capacity expands faster than EV uptake. Therefore, project selection and customer contracts will decide the payoff from CATL’s bond move.

China's LMFP Battery Plant Boosts Cathode Material Market

Battery LFP

China’s LMFP battery materials sector takes a leap forward with Shanxi Tewashi’s 100,000 t/yr plant launch.

China’s Shanxi Tewashi Energy has officially started production at its new 100,000 t/yr lithium ferro-manganese phosphate (LMFP) cathode material plant. Located in Changzhi city, the facility is equipped with 16 fully automated production lines and marks a major investment in next-generation lithium-ion battery technology. The company, formed in late 2023, is a joint venture between Qianyun High-tech Energy and state-owned Shanxi Changgao Zhihui Group.

This launch further underscores China’s strategic focus on expanding domestic LMFP output. LMFP cathode materials offer higher energy density and lower costs compared to traditional lithium iron phosphate (LFP), making them attractive for electric vehicles. However, market analysts note that LMFP’s shorter cycle life and reduced discharge performance remain challenges for widespread adoption. Nevertheless, Chinese firms are doubling down on development. Major players like Hunan Yuneng and Ningbo Ronbay are building large-scale LMFP facilities to capture future market share.

The push into LMFP reflects China’s evolving battery supply chain strategy. As battery manufacturers aim to improve performance and reduce reliance on critical raw materials like nickel and cobalt, LMFP offers a viable alternative. With new LMFP projects launching across Shanxi, Hubei, and Gansu provinces, China is positioning itself as the global leader in diversified cathode active materials. The ramp-up of LMFP output may also influence global pricing dynamics for both LFP and emerging sodium-ion chemistries.

The Metalnomist Commentary

China's aggressive expansion of LMFP cathode production signals a pivot toward alternative battery chemistries. As the global EV sector seeks higher energy density at lower cost, Chinese manufacturers are racing to commercialize LMFP at scale—potentially reshaping the future of EV battery composition.

XTC New Energy LFP LMFP Capacity Expansion Targets Higher-Density Battery Materials

XTC New Energy

XTC New Energy LFP LMFP capacity will expand in Sichuan as the Chinese battery materials producer adds another 40,000 t/yr of lithium iron phosphate and lithium ferro-manganese phosphate production. The second-phase project will be built in Ya’an city and is expected to start production in June 2028.

XTC New Energy LFP LMFP capacity at the Ya’an plant will reach 80,000 t/yr after both phases are completed. The first phase already provides 40,000 t/yr of LFP capacity, while the new phase will add flexible LFP and LMFP output.

XTC New Energy LFP LMFP capacity expansion reflects China’s continued investment in lower-cost and manganese-enhanced battery chemistries. The project will be operated by subsidiary Ya’an XTC New Energy, with total investment expected at 743mn yuan.

The move comes as Chinese battery material producers position for growing power battery demand and greater interest in manganese-based cathode active materials.

LMFP Gains Momentum as Producers Seek Better Energy Density

LMFP is gaining attention because it can offer higher energy density than conventional LFP. This makes it attractive for battery makers seeking to improve driving range while keeping costs below higher-nickel chemistries.

However, LMFP still faces trade-offs. Batteries using LMFP cathode active material generally have shorter cycle life and lower charge-discharge efficiency than LFP batteries.

This means LMFP is not a simple replacement for LFP. Instead, it is likely to develop as a complementary chemistry for applications where higher energy density is more valuable than maximum cycle life.

The expansion also shows how manganese is becoming more important in battery materials. Manganese-based chemistries can reduce reliance on more expensive or supply-sensitive metals while supporting performance improvements.

For XTC, adding LMFP capacity gives the company more flexibility. It can serve established LFP demand while preparing for customers that want manganese-enhanced phosphate materials.

China’s Cathode Supply Chain Expands Into Manganese-Based Materials

XTC is not alone in expanding LMFP capacity. Several Chinese battery material producers are adding or building manganese-based phosphate projects.

Ningxia Hengchuang Nami began building the first phase of a 30,000 t/yr LMFP plant in Yinchuan in March. Hunan Yuneng, China’s largest LFP producer, is also building an LMFP materials plant.

Jiangxi Greatpower launched the first phase of a 20,000 t/yr LMFP plant in Pingxiang in January. These projects show that China’s battery materials industry is preparing for broader adoption of LMFP.

The trend is strategically important for the cathode supply chain. LFP has already become a major chemistry in electric vehicles and energy storage because of its cost advantage, safety and long cycle life.

LMFP could extend that platform by adding more energy density while preserving some of LFP’s cost and safety benefits. If technical limitations improve, LMFP may become a larger part of China’s battery chemistry mix.

For raw materials, the shift could support manganese demand in battery applications. It also reinforces China’s lead in scaling new cathode chemistries from pilot production to industrial capacity.

The Metalnomist Commentary

XTC’s Ya’an expansion shows that China’s battery materials race is moving beyond simple LFP scale. LMFP is becoming a serious development path because it offers a practical route to higher energy density without fully moving into costlier high-nickel systems.

Hubei STR anode recycling plant will start in March 2026 as China’s battery scrap accelerates

Lithium-Ion Battery

Hubei STR will start the Hubei STR anode recycling plant in March 2026. The project targets 50,000 t/yr of recycled anode materials for lithium-ion batteries. The company began site construction in January 2022. As a result, the facility enters the market as battery recycling volumes rise sharply.

Battery scrap volumes will surge as China’s first NEV wave reaches end-of-life. Lithium-ion batteries usually retire when capacity falls to 80%. The US Advanced Battery Consortium links this threshold to an 8–12 year service life. Therefore, post-2025 retirements should expand the available feedstock for anode material recycling.

China’s EV scale is turning recycling into a supply chain priority

China’s EV scale is making the Hubei STR anode recycling plant strategically timed. China pushed NEV output above one million units in 2018. NEVs reached 40.9% of total auto sales in 2024. Meanwhile, October NEV sales hit 1.72mn units and took 51.6% market share.

Recycling capacity must follow that growth curve. China Association of Automobile Manufacturers forecasts NEV sales near 16mn units in 2025, up from 12.86mn in 2024. China Automotive Engineering Society estimates retired power batteries exceeded 580,000t in 2023. It expects retirements to reach 6mn t by 2030. Consequently, anode recycling becomes a cost, ESG, and security lever for battery makers.

Graphite recovery and copper foil separation define the value capture

Graphite recovery drives much of the anode recycling economics. The lithium-ion battery recycling process starts with dismantling and material separation. Recyclers can recover plastics and the diaphragm from anode-side components. They can also extract aluminium foil from cathode materials.

Graphite recovery then becomes the key upgrade step. Recyclers separate graphite from copper foil in spent anodes. They purify the graphite and sell it back into the battery materials chain. Therefore, the Hubei STR anode recycling plant can support a more circular anode supply. It can also reduce exposure to price swings in battery-grade inputs.

The Metalnomist Commentary

China’s recycling race is shifting from metals recovery to materials performance. Therefore, graphite purity and consistent output will decide who wins long-term contracts. However, recyclers must prove traceability and ESG compliance to unlock premium pricing.