China-US Lithium Battery Cooperation Expands to Promote New Energy Industry Development

Lithium iron phosphate (LFP) batteries have taken center stage in both the solar and electric vehicle (EV) industries. Chinese lithium battery companies have emerged as global leaders in the lithium battery industry, with a significant presence in the top global installed capacity rankings, claiming estimate 80% of the lithium battery market.

Recent data from the China Automotive Power Battery Industry Innovation Alliance underscores the enduring dominance of lithium iron phosphate (LFP) batteries over ternary batteries. In terms of output and loading volume, LFP batteries constitute over 60% of the total installed volume and have surged to a remarkable 68.6% in the EV sector.

Notably, the global adoption of new energy vehicles equipped with LFP batteries has been swift, with industry giants like BYD and Tesla leading the charge. This trend extends even to

manufacturers from Japan and South Korea, such as Toyota Motor and Hyundai Motor, who are now embracing LFP batteries.

Moreover, news is emerging about other automotive behemoths, including Tesla and Rivian, actively exploring similar investments. Tesla’s interest appears to lean towards forging collaborations with Ford and CATL.

Li Ke, Executive Vice President of BYD, revealed plans in December of the previous year to establish a dedicated battery production base in the United States.

A case in point:

At the Gotion High-Tech Media Open Day event held on April 28, Chen Ruilin, Vice President of International Business, unveiled Gotion Hi-Tech’s ambitious vision of establishing two production bases in the United States, focused on battery production and battery materials, respectively.

Among these initiatives, news about the battery material factory emerged in October of the preceding year. Reports indicate that Gotion, the US subsidiary of Gotion Hi-Tech, secured approval for constructing a battery material production plant near Big Rapids, Michigan, with an estimated investment of $2.4 billion US dollars.

This facility aims to become operational by 2030, producing 150,000 tons of battery cathode materials and 50,000 tons of anode materials annually.

In the current year, Gotion obtained approval from the US federal government to proceed with the construction of a battery material plant in Michigan.

Regarding the battery production facility, Chen Ruilin shared that progress is on track, with the specific location set to be determined shortly.

This growing collaboration between China and the United States in the lithium battery domain marks a significant stride towards fostering the global advancement of the new energy industry.

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