What will China's new lithium-ion battery regulation mean for the battery industry?

China's industrial regulator plans to launch a major document to guide the production capacity of lithium-ion batteries, which industry experts said will knock out a batch of low-end battery cells and accelerate the structural adjustment of the country's booming lithium-ion battery sector.

Should lithium-ion battery companies reduce production costs?

The Ministry of Industry and Information Technology unveiled a draft guideline on Wednesday that will guide lithium-ion battery companies to reduce projects that aim solely to expand production capacity. Instead, lithium-ion battery companies will be encouraged to strengthen technological innovation, improve quality and reduce production costs.

What is the Ministry of Science & Technology (most) doing?

At a glance: The Ministry of Science and Technology (MOST) released a special plan to stimulate the creation of an efficient technology market in China, part of a longstanding effort to improve the transfer and conversion of science and technology (S&T) achievements into commercial or practical applications. Key points include:

What will China's Lithium-ion battery production capacity be in 2025?

The China Automotive Power Battery Industry Innovation Alliance predicted that by 2025, the country's lithium-ion battery production capacity will likely exceed 3,000GWh. However, the capacity utilization rate of the country's lithium-ion battery industry dropped to about 40 percent last year and is likely to reach 35 percent by 2025.

Will rising battery prices stymy demand for EVs?

Batteries account for around 40 percent of an EV’s value and rising battery prices (caused by high lithium prices, which tripled in 2022) could trickle down to consumers and stymy demand.