Construction begins on the first phase of Wanhua Chemical (Sichuan) Battery Materials Co., Ltd.’s integrated project to produce 120,000 tons of new type anode materials per year

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On September 1, the construction of Phase 1 of Wanhua Chemical (Sichuan) Battery Materials Co., Ltd.’s integrated project to produce 120,000 tons per year of new type anode materials began. It is worth noting that from ensuring the supply of upstream raw materials to establishing production capacity downstream, Wanhua Chemical has gradually developed a complete industrial chain in battery materials: this year it established a joint venture with Xingfa and entered the European battery materials market; last month, Wanhua Chemical (Sichuan) Battery Materials Technology Co., Ltd. announced the environmental impact assessment for an expansion project aimed at producing 120,000 tons of lithium iron phosphate per year. In February this year, the new generation battery materials industrial park of Wanhua Chemical in Haiyang was put into operation. Once fully completed, the project will have a production capacity of 500,000 tons of lithium iron phosphate and 300,000 tons of synthetic graphite anode materials. Both of the aforementioned projects involve negative electrode materials. Lithium-ion batteries are composed of four components: positive electrode materials, negative electrode materials, a separator, and an electrolyte. Among them, the anode material serves as a carrier for lithium ions and electrons during the charging process of lithium-ion batteries; its primary function is to enable the storage and release of energy. In terms of battery cost, the anode material accounts for approximately 5% to 15%. It is worth noting that in the first half of 2025, China’s output of power batteries was 477 GWh, representing a year-on-year increase of 49% ； The shipment volume of energy storage batteries was 265 GWh, a year-on-year increase of 128%. The growth of downstream markets has directly driven an increase in the demand for anode materials. In the first half of 2025, the shipment volume of anode materials in China reached 1.29 million tons, a year-on-year increase of 37%.