China's GEM, South Korea's EcoPro to set up JV to produce high-Ni battery materials

Published: Apr 14, 2020 11:35 (GMT+8)
Chinese power battery recycling giant GEM will team up with South Korean cathode materials manufacturer EcoPro to produce high-nickel ternary precursor products for electric vehicle batteries. GEM said on Monday April 13 that its subsidiary Fuan Qingmei Energy Materials Co., Ltd. has penned a memorandum of understanding with EcoPro to establish a joint venture (JV) in Ningde, in South China’s Fujian province.

SHANGHAI, Apr 14 (SMM) – Chinese power battery recycling giant GEM will team up with South Korean cathode materials manufacturer EcoPro to produce high-nickel ternary precursor products for electric vehicle batteries.

 

GEM said on Monday April 13 that its subsidiary Fuan Qingmei Energy Materials Co., Ltd. has penned a memorandum of understanding with EcoPro to establish a joint venture (JV) in Ningde, in South China’s Fujian province.

 

The JV will primarily engage in the production of nickel-rich nickel-cobalt-aluminum (NCA) and nickel-cobalt-manganese oxide (NCM) precursor products. Its capacity is expected to reach 24,000 mt per year by 2022 and 48,000 mt per year by 2024.

 

Fuan Qingmei will have 51% of the JV's equity and the Changwon-based partner will have the remainder, according to the announcement by GEM.

 

In February, GEM agreed to sell at least 100,000 mt of nickel-rich NCM 8 and 9 series precursor materials to EcoPro’s subsidiary EcoPro BM over the next seven years.

 

GEM delivered 33,000 mt of ternary precursor materials in the first half of 2019, and 77% of which were for CATL, BYD, Panasonic, LG and Samsung, the top five power battery suppliers in the world. The Shenzhen-based company’s full-year ternary precursor materials deliveries are estimated to exceed 70,000 mt in 2019 and reach 100,000 mt in 2020.

Data Source Statement: Except for publicly available information, all other data are processed by SMM based on publicly available information, market communication, and relying on SMM's internal database model. They are for reference only and do not constitute decision-making recommendations.

For any inquiries or for more information, please contact: lemonzhao@smm.cn
For more information on how to access our research reports, please contact:service.en@smm.cn
Related News
[SMM Analysis] IMIP’s water-related NPI cuts meet weak stainless steel demand
12 hours ago
[SMM Analysis] IMIP’s water-related NPI cuts meet weak stainless steel demand
Read More
[SMM Analysis] IMIP’s water-related NPI cuts meet weak stainless steel demand
[SMM Analysis] IMIP’s water-related NPI cuts meet weak stainless steel demand
IMIP’s RKEF NPI plants have begun cutting operating loads by 30–40% amid water shortages. Prolonged cuts could reduce cumulative NPI output by over 100 kt, equivalent to more than 11 kt of nickel at an 11% grade. Meanwhile, weak demand is expected to lower China’s October 300-series stainless output by over 100 kt. Elevated NPI inventories could cushion the initial impact, with price support depending on the disruption’s duration and downstream buying.
12 hours ago
Data: SHFE, DCE market movement (Sep 23)
13 hours ago
Data: SHFE, DCE market movement (Sep 23)
Read More
Data: SHFE, DCE market movement (Sep 23)
Data: SHFE, DCE market movement (Sep 23)
The following table shows the ferrous and nonferrous metals movement on the SHFE and DCE on 23 Sep , 2026
13 hours ago
【SMM Nickel Flash】Indonesia Nickel Market Update — September 23, 2026
14 hours ago
【SMM Nickel Flash】Indonesia Nickel Market Update — September 23, 2026
Read More
【SMM Nickel Flash】Indonesia Nickel Market Update — September 23, 2026
【SMM Nickel Flash】Indonesia Nickel Market Update — September 23, 2026
Indonesia's nickel ore market remained stable on September 23, with SMM assessments for Indonesian nickel ore delivered to destination ports unchanged across major grades: Ni 1.2%: $26.5/wmt, unchanged. Ni 1.3%: $28.5/wmt, unchanged. Ni 1.4%: $51.8/wmt, unchanged. Ni 1.5%: $58.5/wmt, unchanged. Ni 1.6%: $63.4/wmt, unchanged. In the market, additional 2026 RKAB approvals are gradually entering the market, helping ease the earlier shortage of nickel ore. However, the total additional quota has yet to be officially announced, and the pace of quota execution remains a key factor for subsequent ore supply and smelter production. Meanwhile, El Niño-driven drought has emerged as a new supply-side concern. IMIP confirmed that water shortages have forced some smelters to reduce NPI production, although operations have not been halted.
14 hours ago