Recently, a number of companies—including SK On, BYD, Wanhua Chemical, Gotion High-Tech, and Xinfag Group—have successively released updates on new project developments. These developments span the entire battery and energy storage value chain, ranging from cathode and anode material construction to large-scale energy storage battery and system production planning.
01 SK On to Build a 3GWh Energy Storage System Production Line
According to The Korea Economic Daily on January 3, SK On has officially launched a major capacity expansion project in South Korea. The core objective of the project is to establish a battery production line with an annual capacity of 3GWh. The facility will be dedicated to energy storage system applications and will primarily manufacture lithium iron phosphate (LFP) batteries.
This project represents the largest LFP battery production facility currently planned in South Korea and also marks SK On’s first time setting up such a battery production line domestically. The facility is mainly intended to support South Korea’s government-led initiative to expand national energy storage system capacity to 138GWh by 2038.
02 Wanhua Chemical Publishes EIA for 200,000-Ton LFP Project
Recently, Wanhua Chemical released a pre-approval public disclosure of the environmental impact assessment (EIA) report for its Phase II project at the Green Power Industrial Park, which is designed to produce 200,000 tons of lithium iron phosphate annually.
Previously, Wanhua Chemical had announced plans to invest RMB 16.8 billion in three phases to build the Haiyang Next-Generation Battery Materials Industrial Park. The current disclosure αφορά the Phase II project, which targets an annual output of 200,000 tons of LFP. The project involves a total investment of RMB 2.51 billion, with main construction activities including civil engineering works as well as the installation of equipment, electrical systems, and water supply and drainage pipelines. The construction period is expected to be approximately 12 months.
03 BYD’s Shengzhou Base Phase II and III Production Lines Go into Operation
Recently, a joint commissioning ceremony for Phase II and Phase III of BYD’s new energy power battery production base was held in Shengzhou, Shaoxing City, Zhejiang Province.
According to available information, Phase II of the BYD new energy power battery base involves a total investment of approximately RMB 6 billion and focuses on building a 15GWh-per-year production line for new energy Blade batteries. Phase III is planned with a total investment of RMB 5 billion and will mainly construct a 15GWh-per-year energy storage battery production line.
Based on BYD’s latest disclosed data, in December 2025, the installed capacity of BYD’s power batteries and energy storage batteries reached approximately 27.352GWh. For the full year of 2025, cumulative installed capacity totaled about 285.634GWh.
04 Gotion High-Tech Breaks Ground on Two Battery Material Projects
On the morning of January 6, a groundbreaking ceremony was held in the Lujiang High-Tech Zone, Anhui Province, for Gotion High-Tech’s projects with an annual capacity of 200,000 tons of cathode materials and 10,000-plus tons of silicon-carbon anode materials.
The 200,000-ton-per-year cathode material project adopts Gotion’s fourth-generation LFP production line technology and is designed as a new smart factory based on digitalized and informatized systems. Upon completion and reaching full capacity, the facility will be capable of producing 200,000 tons of LFP cathode materials annually, while also being upward-compatible with next-generation LFP products.
The silicon-carbon anode material industrialization project, with an annual capacity of 20,000 tons, utilizes “nano-confined structure design” and “multi-dimensional composite deposition/coating” technologies to produce new silicon-carbon materials. Once completed, it will become a globally leading production base for high-performance silicon-carbon anode materials, enabling comprehensive coverage of current and next-generation battery capacity requirements.
05 Xinfa Group’s Customized LFP Production Line for BYD Enters Trial Operation
On January 5, a customized lithium iron phosphate production line at the LFP plant of Hubei Xingshun New Materials Co., Ltd.—a subsidiary of Xinfa Group—officially entered trial operation. The production line, tailored specifically for BYD, has added more than 20 demagnetization units to the existing equipment configuration, further enhancing product performance.
Previously, on December 4, Xinfa Group announced that its wholly owned subsidiary, Hubei Xingshun New Materials Co., Ltd., had signed a Lithium Iron Phosphate Toll Processing Agreement with Qinghai Fudi Industrial Co., Ltd. Under the agreement, Qinghai Fudi will commission Xingshun New Materials to process up to 80,000 tons per year of LFP products and will pay corresponding processing fees.
Within this framework, BYD, as the commissioning party, will be responsible for supplying the core raw materials required for LFP production—such as lithium sources and iron phosphate—and will also offtake all finished products, while paying a fixed processing service fee. Xinfa Group’s subsidiary will primarily contribute its production facilities, technical processes, and operational management capabilities.
Source：EnergyTrend