[SMM Analysis] CATL Responds to Rumors of LFP Order Cuts

[SMM Analysis: CATL Responds to Rumors of LFP Order Cuts] On December 27, CATL refuted rumors on an interactive platform regarding the "company's plan to cut LFP orders in January 2025." The company stated that the new energy market is currently developing well, with robust demand. It has maintained good interactive cooperation with suppliers to jointly promote industry development. Meanwhile, the company, together with its supplier partners, continues to advance technological progress and innovation, sharing the benefits of industry growth.

The lithium battery market is currently in a rapid development phase, with LFP materials gradually encroaching on the market share of ternary cathode materials. According to SMM production schedule data, the growth rate of LFP materials is expected to surpass that of ternary cathode materials in the future, with annual production likely to exceed 3.6 million mt by 2027, an increase of over 56% compared to 2024 production. As an industry leader, CATL continues to expand its market share, leveraging its high-tech approach, and its overall demand for materials is expected to increase year by year.

SMM New Energy Research Team

Cong Wang 021-51666838

Rui Ma 021-51595780

Ying Xu 021-51666707

Disheng Feng 021-51666714

Yujun Liu 021-20707895

Yanlin Lü 021-20707875