On September 21, Keda Manufacturing (600499) announced that, to further improve its integrated anode material layout and achieve economies of scale, it plans to have its controlling subsidiary Fujian Keda New Energy Technology Co., Ltd. ("Fujian Keda New Energy") invest approximately 4.5 billion yuan (including working capital) in the Tuyou New-type Industrial Park in Baotou, Inner Mongolia, to build an integrated project with annual capacity of 500,000 mt of graphite anode material. The company will also coordinate with quality enterprises along the industry chain to jointly build the Fujian Keda New Energy Inner Mongolia R&D Center and will promote the construction of Fujian Keda New Energy's northern headquarters at an appropriate time.
The announcement shows that the lithium battery anode material industry has significant economies of scale. Capacity scale is not only the foundation of cost control but also an important consideration for major downstream clients when selecting suppliers. As of the announcement date, Keda Manufacturing already has capacity of 150,000 mt/year of integrated artificial graphite and is steadily advancing production line optimization and capacity expansion. After the technological transformation is completed in 2026, integrated artificial graphite capacity is expected to rise to 180,000 mt/year.
The project site covers about 1,000 mu, with construction expected to begin in October 2026 and a construction period of 10 to 12 months. Keda Manufacturing stated that the degree of capacity scale matching will affect the stability of its cooperation with core clients and the maintenance of market share. Therefore, this expansion is both an important measure to implement the above strategic goals and enhance capacity scale and market competitiveness, and a practical necessity.
After the new project is completed and reaches full production, Keda Manufacturing's capacity scale will jump to 680,000 mt/year.
Keda Manufacturing also mentioned in the announcement that the investment amount of this project is relatively large. As of June 30, 2026, the company's cash balance was 3.681 billion yuan, and its own funds are not enough to cover the total project investment. The company plans to raise funds through bank loans and other means, which will correspondingly increase the company's related financial costs.
Battery Network noted that on September 16, Keda Manufacturing announced that it plans to use its own funds to acquire a combined 6.82% equity stake in Fujian Keda New Energy from three minority shareholders: Chongqing Haitong Fenghe Energy Storage Industry Private Equity Fund Partnership (Limited Partnership), Xiamen ITG Industrial Development Equity Investment Fund Partnership (Limited Partnership), and Gongqingcheng Shoujiantou Fenghe No.1 Venture Capital Partnership (Limited Partnership), for a total transaction amount of 168 million yuan.
Keda Manufacturing said this transaction is an arrangement made based on the company's medium and long-term development strategy for its lithium battery materials business and is an important measure to optimize the shareholder structure and enhance control over core assets. By acquiring the minority shareholders' equity in Fujian Keda New Energy, the company can further increase its shareholding ratio and strengthen its dominant role in strategy and resource allocation, thereby improving operational efficiency.
In terms of performance, in H1 2026, Keda Manufacturing achieved operating revenue of 10.392 billion yuan, up 26.92% YoY, and net profit attributable to shareholders of the publicly listed firm of 1.284 billion yuan, up 72.39% YoY. Among this, the company's artificial graphite product production and sales grew significantly in H1, achieving operating revenue of approximately 1.376 billion yuan, up approximately 48.30% YoY.
In addition to the anode material business, Keda Manufacturing is also involved in new energy equipment and lithium chemicals businesses in the lithium battery sector. Its new energy equipment business mainly covers the production and sales of clean coal gasification equipment and lithium battery cathode and anode material roasting equipment. Its lithium chemicals investment is carried out through a 48.58% equity stake in Lanke Lithium, a salt lake lithium extraction enterprise. Lanke Lithium currently has capacity of 41,000 mt/year of lithium carbonate and is an important force in salt lake lithium extraction in China.
In H1, Keda Manufacturing's new energy equipment business achieved operating revenue of 776 million yuan. Lanke Lithium achieved lithium carbonate production of approximately 20,200 mt and sales of approximately 17,800 mt. Driven by rising lithium carbonate prices, Lanke Lithium's net profit increased significantly YoY, with operating revenue of 2.543 billion yuan and net profit of 1.411 billion yuan. Its contribution to Keda Manufacturing's net profit attributable to the parent company was 615 million yuan, up 266.21% from the same period last year.
