EVE Energy Co., one of China’s leading lithium-ion battery manufacturers, announced plans to build two new plants with a combined annual capacity of 110 gigawatt-hours at a total investment of 11 billion yuan ($1.6 billion). The expansion includes a 6 billion-yuan joint venture with Fujian Longking Co. in southern China, expected to produce 60 gigawatt-hours annually, and a separate 5 billion-yuan facility in eastern China with 50-gigawatt-hour capacity for both stationary and electric vehicle batteries, according to company filings on Tuesday.
The company said the expansion aims to “better seize the market opportunities” in utility-scale and EV storage, enhancing EVE Energy’s competitiveness in a rapidly growing sector. The announcements coincided with a strong earnings outlook: the company projected first-quarter net income growth of up to 35%, sending its shares up 6.2% in early trading on Wednesday, marking the largest intraday gain since March 20.
EVE Energy’s business spans electric vehicles, stationary energy storage, and consumer electronics batteries, and the firm has been aggressively increasing its production capacity. In March, it announced two additional plants in southern China, adding 120 gigawatt-hours of capacity with a total investment of 12 billion yuan. Analysts say the expansion positions EVE Energy to capitalize on growing demand for clean energy storage and electric mobility both domestically and abroad. Bloomberg reports that the company’s strategy underscores China’s continued drive to dominate global battery manufacturing amid a booming EV market.
