Shenzhen Gaogong Industry Research Co.,Ltd. has reported a significant upward revision in lithium battery production plans for January 2025.
Source: Securities Daily
Shenzhen Gaogong Industry Research Co.,Ltd. has reported a significant upward revision in lithium battery production plans for January 2025. Production of lithium iron phosphate (LFP) batteries is expected to grow by over 150% year-on-year, with ternary lithium battery output also anticipated to rise. Industry experts suggest that this momentum could extend across the first quarter of the year, defying traditional seasonal slowdowns with stronger-than-expected market demand.
The robust start to 2025 is attributed to sustained demand from downstream sectors. Production of critical materials, including LFP cathodes, ternary cathodes, separators, and electrolytes, has also seen year-on-year growth. Analysts predict that as lithium salt prices stabilize, downstream inventory replenishment will normalize, further supporting production. Meanwhile, demand from the energy storage sector remains strong, bolstered by policy-driven initiatives such as trade-in programs. This favorable environment is expected to result in an unusually strong performance for the first quarter.
China's new energy vehicle (NEV) market is forecasted to achieve remarkable milestones in 2025, with projected sales reaching 16.1 million units and an electrification penetration rate surpassing 50%. This dual growth engine—NEVs and energy storage—is expected to sustain lithium battery demand, helping to balance supply and demand across the entire industry chain.
Major players in the lithium battery industry have shared their production targets for 2025, reflecting confidence in the market's continued growth. For example,CATL (Contemporary Amperex Technology Co., Ltd.) has confirmed stable production for January 2025, with an effective annual capacity of approximately 810 GWh and a target output of 750 GWh. BYD has projected a planned capacity of 631 GWh for 2025, reflecting a compound annual growth rate of 26% over the past three years.Supported by robust NEV sales, strong energy storage demand, and stabilizing raw material costs, the lithium battery market is well-positioned for growth in 2025. The traditionally slow first quarter is expected to deliver exceptional performance, underscoring the sector's resilience and growing importance in the global energy landscape.