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.

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.

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.

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.

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.

CALB Expands Lithium Battery Capacity at Sichuan Chengdu Plant

CALB

CALB Invests $1.65 Billion in Phase 2 Chengdu Battery Expansion

China Aviation LB (CALB) has launched a major expansion of its Chengdu lithium battery facility in Sichuan province. The company began construction of a new 30 GWh energy storage and power battery plant on March 25. CALB is investing 12 billion yuan ($1.65 billion) in the project, aiming to begin operations by the second half of 2026. This expansion builds on a 20 GWh facility completed in 2022, reinforcing CALB’s growing role in China’s battery market.

CALB Strengthens Market Position Among China’s Top Battery Makers

CALB currently ranks as China's third-largest power battery supplier, trailing only CATL and BYD in total installed volumes. In January–February, CALB accounted for 5.6% of China’s 73.6 GWh total installed power batteries, with 4.1 GWh deployed. Its clients include major automakers such as Guangzhou Automobile, Xpeng, Geely, and Mercedes-Benz’s Smart brand. Meanwhile, leading players CATL and BYD achieved 33.7 GWh and 17.1 GWh, making up 45.8% and 23.2% of the market.

The Metalnomist Commentary

CALB’s latest investment reflects intense competition among Chinese battery giants to scale up capacity amid global EV growth. The Chengdu plant not only adds strategic value in western China but also signals CALB’s ambitions beyond the domestic market. In a tightening race, production speed and gigawatt-hour output are becoming as critical as technological innovation.

Envision AESC Launches Battery Plant in France to Boost Global EV Supply

Envision AESC

Strategic Expansion into Europe

Chinese battery manufacturer Envision AESC has inaugurated a 10GWh per year battery plant in Douai, northern France. The facility’s initial phase will produce enough cells to power 200,000 electric vehicles annually, supporting Europe’s growing demand for clean transportation. While the company has not disclosed timelines for subsequent phases, the project represents a significant step in its global manufacturing strategy.

Envision AESC’s goal is to achieve a total global battery capacity of 400GWh per year by 2026, with operations spanning 13 battery manufacturing bases across China, Japan, the US, the UK, France, and Spain. This broad geographic footprint is designed to meet the surging needs of the rapidly developing EV sector and strengthen resilience against supply disruptions.

Scaling Capacity Amid Geopolitical Shifts

The company is simultaneously doubling its production in Cangzhou, China, to 20GWh per year by 2026 and constructing a gigafactory for lithium iron phosphate batteries in Navalmoral de la Mata, Spain, scheduled to start output in 2026. These moves align with a wider trend among Chinese battery firms expanding overseas in response to geopolitical pressures, including higher US import tariffs and the EU’s Critical Raw Materials Act.

Envision AESC is a joint venture between Chinese-owned Envision and Japanese-owned AESC, itself a collaboration between automaker Nissan and component maker Tokin. By strategically positioning manufacturing assets within key markets, the company aims to enhance customer proximity, reduce logistics risks, and align with local regulatory requirements.

The Metalnomist Commentary

Envision AESC’s French facility marks another decisive step in the localization of battery supply for Europe’s EV market. By combining European production with a global expansion strategy, the company is hedging against trade tensions while capturing market share in high-growth regions. The challenge ahead will be scaling production efficiently while adapting to evolving environmental and trade policies in multiple jurisdictions.

ICL to Build Lithium Battery Plant in the US with Aleees Partnership

ICL

ICL Starts Construction of US-Based LFP Battery Facility

Israeli specialty minerals company ICL has begun construction of a lithium iron phosphate (LFP) battery plant near St. Louis, Missouri. The facility will have a production capacity of 30,000 metric tonnes per year and is expected to start operations later this year.

This $400mn investment will be partially funded by a $197mn grant from the US Department of Energy (DOE). The grant falls under the Bipartisan Infrastructure Law, aimed at strengthening domestic clean energy supply chains.

However, the DOE funding remains frozen under an executive order signed by President Donald Trump in January 2025. Despite the uncertainty, ICL has proceeded with the project to establish its US footprint in the battery materials space.

Strategic Partnerships Secure LFP Technology Supply Chain

To support the project, ICL has partnered with Taiwan-based Aleees, a major LFP technology licensor. Aleees will help ICL establish a secure LFP supply chain for US electric vehicle and energy storage customers.

The partnership gives ICL access to Aleees' intellectual property and production expertise. Aleees also licensed its LFP cathode material technology to US battery firm T1 Energy, formerly Freyr Battery.

Meanwhile, ICL is also expanding its footprint in Europe. In January, it formed a joint venture with China’s Shenzhen Dynanonic to produce LFP cathode active materials for the European market.

The Metalnomist Commentary

ICL’s investment reflects a strategic move to onshore battery material production in response to growing US demand and political pressure. As LFP becomes the chemistry of choice for mass-market EVs and grid storage, securing localized supply chains will be critical for competitiveness and compliance. The real test will be whether DOE funding resumes under the evolving policy landscape.

CATL Begins Construction of 25 GWh/yr Battery Plant in Fujian

CATL

China’s largest battery manufacturer, CATL (Contemporary Amperex Technology Co., Ltd.), has started building its No. 5 plant at the Fuding battery production complex in Fujian province. The plant, with an annual production capacity of 25 GWh, is part of CATL’s strategy to expand its dominance in the global new energy power battery market.

Key Details of the Project

• Investment: 6.47 billion yuan ($910 million).
• Timeline: Construction is set to finish by June 2025, with production commencing shortly afterward.
• Fuding Complex: CATL’s largest single battery production site, with a total capacity of 120 GWh/yr, has already completed four plants.

A 1 GWh lithium-iron-phosphate (LFP) battery typically requires 2,300 tons of lithium carbonate feedstock, underscoring the significant demand for lithium resources that the plant will generate.

CATL’s Global Production Leadership

• Current Output: CATL produced 211 GWh of batteries from January to June 2024, accounting for 65% of its total capacity of 323 GWh/yr.
• Growth: This represents a 37% increase from 154 GWh during the same period last year.
• Global Footprint: CATL operates 13 production bases worldwide, solidifying its leadership in the energy storage and electric vehicle battery sectors.

Concerns About Potential Oversupply

China’s power battery production has led global growth over the past decade, driven by surging demand from the new energy vehicle (NEV) market. However, rapid capacity expansions have raised concerns about potential oversupply, which could pressure margins and disrupt market dynamics, according to industry participants.

Strategic Importance

CATL’s latest expansion in Fujian aligns with its mission to support the fast-growing NEV market while staying ahead of competitors. The additional capacity will play a critical role in meeting the global shift toward renewable energy and electric mobility.

Liyuan Begins Phase 2 Expansion of Indonesian LFP Production Plant

Changzhou Liyuan

Chinese Lithium Iron Phosphate Producer Expands Capacity to Meet Growing Global Demand

Chinese lithium iron phosphate (LFP) producer Changzhou Liyuan has officially started building Phase 2 of its production plant in Indonesia. The second phase of the plant, with a designed capacity of 90,000 tonnes per year (t/yr), aims to strengthen Liyuan's position in the growing global LFP market. However, specific details about the construction period and expected launch date have yet to be disclosed.

This expansion follows the successful completion of the first phase, which began in July 2023 and had a capacity of 30,000 t/yr. The first batch of LFP material is expected to be produced in January 2025. Located in the Kendal Industrial Park in Central Java, Indonesia, this plant represents a significant step in China’s strategic investment in overseas battery material production.

Strategic Investment in Overseas Capacity

Liyuan's plant in Indonesia is the first overseas LFP production project by a Chinese company with a capacity exceeding 10,000 t/yr. This milestone reflects China's growing commitment to securing international battery feedstock resources. While many Chinese investments in Indonesia have historically focused on primary materials or intermediates, this project marks a shift toward direct investment in battery materials, essential for the global electric vehicle (EV) market.

The expansion also highlights the broader trend of Chinese battery firms investing heavily in overseas manufacturing capacity. These investments are seen as crucial for diversifying supply chains and mitigating geopolitical risks, ensuring a stable supply of LFP materials amidst increasing global demand.

Rising Demand for LFP in the Power Battery Market

LFP's popularity in the power battery market has surged due to its lower manufacturing costs and enhanced safety compared to other battery chemistries. As the demand for electric vehicles continues to rise, LFP's market share is expected to grow even further, with Liyuan's expanded capacity playing a key role in meeting this demand.

In conclusion, Liyuan’s Phase 2 expansion in Indonesia marks a strategic move to enhance global production capacity and supply chain diversification. With the growing importance of LFP in the energy transition, this project is a significant step forward for both Liyuan and China’s battery material supply chain.

CNGR to Withdraw from pCAM Plant in Finland

CNGR Advanced Materials

Strategic Exit Reflects Shifting Battery Market Conditions

Chinese battery materials producer CNGR Advanced Materials will exit its planned pCAM plant in Finland, citing tough market conditions. The plant, located in Hamina, was expected to produce 60,000 metric tonnes per year of precursor cathode active materials (pCAM).

CNGR’s withdrawal was driven by slower EV adoption in the EU and regulatory uncertainties, according to CEO Dani Widjaja. The move signals CNGR’s intent to focus on core operations amid a changing global demand environment for battery materials.

As a result, the Finnish Minerals Group — a state-owned special purpose entity — will now hold full ownership of the joint venture.

Second Global Pullback Raises Supply Chain Questions

This is CNGR’s second major overseas exit in 2024, following its earlier withdrawal from a nickel JV with South Korea's Posco. Such retrenchments highlight how macroeconomic and policy shifts can reshape battery material investment strategies.

The decision could also impact Finland’s broader ambitions in the battery supply chain.

Specifically, it raises questions for the Easpring-Finnish Minerals Group CAM joint venture, as pCAM is a critical upstream input.

Meanwhile, Finland remains committed to building out its domestic battery value chain, though investor appetite may now face increased scrutiny.

EU Battery Landscape Faces Investment Headwinds

CNGR’s exit reflects broader investment hesitation in Europe’s EV materials sector, which has been slower to mature than expected. High inflation, policy delays, and competition from US incentives have complicated Europe’s path toward battery supply autonomy.

However, Finland continues to be a key node in Europe’s raw material strategy, offering abundant natural resources and strong political support. Yet securing consistent, long-term partners will be essential to maintaining momentum in battery precursor and cathode development.

The Metalnomist Commentary

CNGR’s Finland retreat is a cautionary tale for Europe’s battery ambitions. Supply chain localization must move faster than global headwinds. Without synchronized policy and demand growth, the continent risks losing strategic partners to more stable or incentivized regions.

Global Battery Demand Nears 1TWh in 2024 as LFP Market Share Surges

Battery

EV Growth and China Lead Surge in Battery Demand

Global battery demand reached nearly 1TWh in 2024, largely driven by rising electric vehicle (EV) adoption, according to the IEA's latest EV Outlook 2025. The Focus Keyphrase "global battery demand" continues to dominate energy transition narratives as EV sales accelerate across major economies.

EV battery demand alone exceeded 950GWh, accounting for more than 85% of total battery consumption. China led with 59% of EV battery demand, followed by the U.S. and EU, each holding a 13% share. The IEA projects battery demand will more than triple to over 3TWh by 2030 under current national policies. While supply of critical minerals is currently in surplus, the IEA warns that depressed prices could deter future investment, risking lithium and nickel shortages by decade’s end.

Battery Manufacturing Grows Faster Than Demand

Global battery manufacturing capacity grew by nearly 30% to 3.3TWh in 2024, tripling actual demand. If all announced projects proceed, capacity could reach 6.5TWh by 2030, outpacing the IEA’s projected demand.

South Korea led overseas battery capacity expansion with over 400GWh deployed in 2024, far ahead of Japan (60GWh) and China (30GWh). If planned projects materialize, South Korea could produce over 1TWh annually by 2030, almost double China’s expected output. As a result, China’s global manufacturing share is projected to fall from 85% in 2024 to two-thirds by 2030, diversifying global supply chains.

LFP Dominates Market as Regional Dynamics Shift

Lithium iron phosphate (LFP) batteries now make up nearly half of the global EV battery market, with Chinese producers holding a de facto monopoly, especially in Europe and the U.S. European OEMs are increasingly opting for LFP chemistries to cut costs, displacing South Korean suppliers.

South Korean battery makers’ EU market share fell to 60% in 2024, down from 80% in 2022, while their U.S. market share rose to 35%, closing in on Japan’s 48%. Major Korean firms — LG Energy Solution, SK On, Samsung SDI — are all preparing for mass LFP production to compete in this fast-growing segment.

Meanwhile, LFP adoption in Southeast Asia, Brazil, and India has surpassed 50% of battery electric car sales, signaling rapid global penetration. However, Japanese battery makers face domestic setbacks, highlighted by Nissan’s cancellation of its Kyushu LFP plant amid restructuring.

The Metalnomist Commentary

The rise in global battery demand underscores a structural transformation in energy, mobility, and manufacturing. While demand growth is robust, the oversupply of battery capacity and volatility in mineral prices highlight the sector’s growing pains. As LFP continues its global ascent, regional competition and vertical integration will shape the future of the battery ecosystem.

Huayou Cobalt Commissions First Overseas Battery Precursor Plant in Indonesia

Huayou Cobalt

Huayou Cobalt, a leading Chinese producer of battery metals and materials, has officially launched its first overseas production facility for high-nickel ternary battery precursors in Indonesia. This significant milestone for the company marks its strategic move to expand operations internationally in response to shifting global regulations.

Key Details of the Indonesian Plant

• Location: The plant is located in the Weda Bay Industrial Park in North Maluku province.

• Capacity: Designed for a production capacity of 50,000 t/yr of high-nickel ternary battery precursors.

• Phased Rollout: Construction began in late April 2024, and the first phase is now operational. Specific capacities for each phase have not been disclosed.

This facility, officially named Huaneng, represents Huayou’s first non-FEOC (Foreign Entity of Concern) project in Indonesia.

Strategic Expansion in Battery Metals

Huayou has invested heavily in Indonesian projects over the years, diversifying its production capabilities outside China. The global expansion of Chinese battery firms is partly driven by regulations like the EU's Critical Raw Materials Act and the US Inflation Reduction Act. These laws restrict electric vehicles (EVs) containing battery components from FEOC-linked companies from qualifying for tax incentives, such as the $7,500 EV tax credit in the United States.

Broader Implications

Chinese battery companies are increasingly establishing production facilities in countries like the US, France, Morocco, South Korea, and Indonesia. These moves are designed to reduce geopolitical risks and ensure continued access to key EV markets, which are essential as global demand for electric vehicles accelerates.

Huayou’s new plant solidifies Indonesia’s position as a major hub for battery metals production, leveraging the country’s rich nickel reserves and strategic location in the EV supply chain.

Giyani Metals Begins Commissioning of Battery-Grade Manganese Plant

Giyani

Johannesburg, South Africa – Giyani Metals, a Canada-based mining and materials company, has announced the commencement of commissioning at its battery-grade manganese demonstration plant. This marks a significant step toward advancing the global supply chain for high-purity manganese, a critical material for the electric vehicle (EV) battery market.

"Our demo plant has commenced commissioning and we are on track to produce a battery-grade manganese product in this quarter," said Charles FitzRoy, CEO of Giyani Metals, during a webinar held this Thursday.

Key Milestone in Manganese Production

The demonstration plant, designed at a 1:10 scale of the envisioned commercial facility, operates continuously. It serves as a precursor to the larger plant that will be built adjacent to Giyani’s manganese ore project in Botswana.

FitzRoy revealed that the company aims to deliver its first battery-grade manganese products for offtake agreements by late 2024. Meanwhile, construction of the commercial-scale plant is expected to begin in 2026, with production ramp-up targeted for 2027.

Rising Demand for Manganese in EV Batteries

The commissioning aligns with growing interest from original equipment manufacturers (OEMs) seeking manganese-rich battery chemistries. FitzRoy underscored a notable trend:

"We are seeing OEM groups pushing towards higher manganese content batteries. That's very important because that's where we see demand coming."

He also pointed to a projected global supply gap in high-purity manganese sulfate monohydrate (HPMSM). Current production, estimated at 300,000 metric tons annually, falls significantly short of the anticipated demand of 1.6 million tons by 2034. A supply gap of approximately 1.2-1.3 million tons underscores the urgency for new production sources like Giyani's upcoming facility.

A Step Forward for Sustainable Energy

With the EV market's rapid growth, materials like HPMSM are increasingly essential. Giyani Metals' efforts to scale up production could help mitigate supply shortages while supporting sustainable energy transitions worldwide.

Tesla Builds First Grid-Scale Battery Storage Plant in China

Tesla Battery Storage

Tesla Expands Megapack Deployment with China Project

Tesla has announced plans to build its first grid-scale battery storage plant in China, leveraging its advanced Megapack battery system. The project, worth 4bn yuan ($560mn), is a partnership with China Kangfu International Leasing and Shanghai's local government. Once operational, the facility will become China’s largest grid-scale battery storage station.

Tesla began producing Megapacks at its Shanghai gigafactory earlier this year. With an annual capacity of 10,000 units — equal to 40GWh — the plant can support large-scale energy storage demand. Each Megapack stores 3.9MWh, enough to power 3,600 homes for one hour.

Growing Role of China in Tesla’s Energy Strategy

Tesla shipped more than 100 Megapacks from Shanghai in the first quarter, primarily to Europe and Oceania. The Shanghai factory complements its 40 GWh/yr facility in California, reinforcing Tesla’s dual-continent approach to scaling energy storage.

Global demand for energy storage continues to rise, driven by renewable integration and declining costs. According to Chinese research institute EV Tank, shipments of storage batteries are projected to climb to 1,550GWh by 2030. This positions Tesla to capitalize on exponential growth in both the Chinese and international markets.

The Metalnomist Commentary

Tesla’s move to build a grid-scale battery storage plant in China highlights its strategy to dominate global energy storage. By localizing production and deployment, Tesla strengthens its foothold in the world’s largest energy transition market. However, its reliance on China also exposes it to potential policy and geopolitical risks.

Mercedes-Benz Opens Lithium-Ion Battery Recycling Plant in Germany

Battery Recycling Plant

Mercedes-Benz has inaugurated its advanced lithium-ion battery recycling facility in Kuppenheim, southern Germany, marking a significant step in its mission to establish a closed-loop system for critical minerals essential for electric vehicle (EV) production.

The new plant aims to process 2,500 metric tonnes per year of active and inactive materials from shredded battery modules. The active material, known as black mass, contains high-value critical minerals such as nickel, lithium, and cobalt. These will be refined and reused to produce over 50,000 battery modules annually for Mercedes-Benz's EV lineup.

Innovative Recycling Process

The facility utilizes a cutting-edge mechanical-hydrometallurgical process, which Mercedes-Benz claims can recover more than 96% of battery-grade critical minerals from spent lithium-ion batteries. The mechanical phase sorts and separates inactive materials like plastics, copper, aluminum, and iron. Meanwhile, the hydrometallurgical phase processes the black mass to extract critical minerals for reuse in battery production.

Sustainable Operations

Mercedes-Benz's Kuppenheim facility is powered entirely by green electricity, incorporating a photovoltaic system with a peak output of over 350 kilowatts. This aligns with the company's broader commitment to sustainability and reducing carbon emissions.

Technology Partnership with Primobius

The plant was developed in collaboration with Primobius, a joint venture between Australian process technology innovator Neometals and German engineering firm SMS. Mercedes-Benz's subsidiary Licular spearheaded the project, leveraging Primobius' expertise to implement cutting-edge recycling technologies.

Future Expansion Potential

While the Kuppenheim plant represents a significant milestone, Mercedes-Benz is cautious about scaling operations further. A spokesperson highlighted that production volumes could expand in the "medium to long term," contingent on insights gained from the facility’s initial operations.

This recycling initiative underscores Mercedes-Benz's dedication to creating a sustainable supply chain for critical minerals, enhancing EV production, and reducing environmental impact.

Panasonic Reports Increased Profits in Q3 2024, Driven by Storage Battery Demand and AI Growth

Panasonic

Japanese Battery Maker Sees Strong Performance in Automotive and Storage Battery Segments Amid Growing AI Demand

Panasonic, a leading Japanese battery producer, reported a notable increase in profits for the third fiscal quarter ending December 31, 2024. The company posted a profit of ¥132.2 billion ($862 million), marking a 15% rise compared to the same period last year. This growth was primarily driven by stronger sales of its storage battery systems, especially to data centers, fueled by the rising adoption of generative artificial intelligence (AI) technologies.

Growth in Storage Battery Sales and AI Demand

Panasonic’s strong performance in the storage battery segment reflects the growing demand for energy storage solutions, particularly for data centers. The company did not disclose specific sales volumes but highlighted that AI's rapid growth has significantly contributed to increased sales of its storage battery systems. This aligns with global trends, where AI's demands for high-performance computing infrastructure are pushing data centers to invest in more efficient energy solutions.

In response to the strong growth in the storage battery sector, Panasonic has revised its full-year outlook. The company raised its profit forecast for its battery segment by ¥15 billion, now projecting ¥124 billion for the fiscal year ending March 31, 2025. Panasonic expects the demand for storage batteries driven by AI technologies to continue, further enhancing its financial outlook.

Automotive Battery Sales and US Production Facilities

Panasonic's automotive battery business also saw a significant boost, with profits increasing by ¥2.6 billion compared to the previous year. This growth was attributed to higher battery shipments from its Nevada plant in the United States, where improved productivity has helped meet the rising demand for batteries in electric vehicles (EVs). The company’s investments in new battery production facilities in Kansas and Japan’s Wakayama prefecture helped offset initial investment costs.

Despite the potential impact of recent US tariff hikes on imports from Canada and Mexico, Panasonic anticipates minimal disruption to its operations. The company emphasized that its major battery production bases, including those in Kansas, are located within the US, which should shield it from significant negative effects from these tariffs.

Confidence in the Global EV Market

Looking ahead, Panasonic remains confident in the global EV market's growth, despite potential slowdowns in certain regions. The company believes that the overall expansion of the electric vehicle market will continue, regardless of fluctuations in growth rates. Panasonic's strategy of investing in battery production only in response to confirmed client demand ensures that the company will likely achieve a solid return on its investments, positioning it well for future growth.

In conclusion, Panasonic’s impressive performance in Q3 2024 underscores its strong position in the battery industry. With a robust outlook for storage batteries driven by AI and sustained growth in its automotive battery sector, Panasonic is poised for continued success.

Ronbay Secures Major Sodium-Ion Battery Cathode Order, Strengthening Market Presence

Ningbo Ronbay

Expanding Sodium-Ion Battery Cathode Production

Ningbo Ronbay, a leading Chinese battery cathode active material (CAM) manufacturer, has secured a 3,000-tonne order for sodium-ion battery cathode material from an undisclosed client. The company announced the deal on January 20, reinforcing its position as a key player in China’s sodium-ion battery market.

Ronbay has been heavily investing in sodium-ion cathode materials, committing 3 billion yuan ($413 million) in September 2023 to construct a 50,000-tonne-per-year production complex, which is set to launch by 2026. This investment aligns with the growing global demand for sodium-ion batteries, expected to reach 23GWh in 2025.

China’s Sodium-Ion Battery Industry Gains Momentum

China’s leading battery manufacturers, including CATL, BYD, and Hithium, have accelerated their sodium-ion battery production. BYD, for example, started construction on a 30 GWh per year sodium-ion battery plant in Xuzhou, Jiangsu province, in early 2024. These expansions indicate increasing market confidence in sodium-ion battery technology, particularly for two-wheeled and three-wheeled vehicles, energy storage, and power applications.

The Chinese government has also actively promoted sodium-ion battery development as part of its 2021-2025 energy strategy, emphasizing the battery’s cost advantages, resource abundance, and environmental benefits compared to lithium-ion batteries. However, despite strong governmental backing, sodium-ion battery shipments in 2024 fell short of earlier expectations due to higher manufacturing costs compared to lithium-ion and lead-acid batteries, according to Chinese research institution EV Tank.

Ronbay’s Role in the Growing Sodium-Ion Market

With this latest order, Ronbay strengthens its leadership in sodium-ion cathode production, ensuring steady market growth despite industry challenges. The company’s large-scale investment and expanding production capacity position it to capitalize on rising sodium-ion battery adoption while supporting China's push for alternative battery technologies.

As demand for low-cost and sustainable energy storage solutions rises, sodium-ion batteries could play a crucial role in diversifying the global battery supply chain, particularly as a viable alternative to lithium-ion technology.