The signing ceremony for the LFP project between Ningxiang High-tech Zone and Hunan Blossom Group was held on August 30. The investment of the project is 12 billion yuan, including 3 billion yuan for fixed assets. Also, the project involves an annual capacity of 200,000 mt LFP and 40 production lines.

The proportion of LFP batteries installed in NEVs has increased from 38% in January to 51% in July. The installed capacity of LFP battery is expected to continue to grow in H2.

The prices of LFP for motive batteries rose by around 2,000 yuan/mt or 4% from the 5,000 yuan/mt in early July to 5,200 yuan/mt as of the end of July.

Demand for lithium iron phosphate (LFP) batteries in the new energy vehicle market, which enjoy more cost advantage as compared to high-nickel ternary batteries, will likely increase with support from the latest 2020 NEV subsidy policy, under which only passenger cars costing less than 300,000 yuan/unit will receive subsidies. 

Tesla is likely to use lithium iron phosphate (LFP) batteries from CATL in Tesla Model 3 vehicles made at its China plant, which triggered talks about future development of LFP and ternary batteries.

The project is designed to produce up to 15,000 mt of LMO cathode materials and 5,500 mt of lithium carbonate in a year

Demand for Li-ion batteries is expected to reach 8.75 GWh in 2019

Output is expected to extend its gains to 6,800 mt in Sep as orders grew in Aug