Core Viewpoint - The establishment of Shenzhen Jianyuan Energy Technology Co., Ltd. marks a strategic move by Ganfeng Lithium to enhance its energy storage business, focusing on independent energy storage stations and virtual power plants [1][3]. Group 1: Company Establishment and Structure - Shenzhen Jianyuan Energy Technology Co., Ltd. has a registered capital of 130 million yuan and is wholly owned by Shenzhen Yichu Energy Technology Co., Ltd., a subsidiary of Ganfeng Lithium [1][3]. - Shenzhen Yichu Energy Technology Co., Ltd. focuses on investing in and operating independent energy storage stations and is actively expanding into the virtual power plant sector [3]. Group 2: Market Trends and Growth - The independent energy storage market is entering a high-growth phase, with a doubling in the number of projects in the first half of the year, driven by the cancellation of mandatory energy storage requirements and the impending full coverage of the electricity spot market [3]. - Ganfeng Lithium aims to leverage the growth in the energy storage market as a key growth point for its lithium battery business, extending its operations to include energy storage systems and energy storage station construction [3][6]. Group 3: Project Developments and Investments - Shenzhen Yichu has signed over 30 independent shared energy storage station projects nationwide, with a total layout exceeding 18.1 GWh [5]. - Significant projects include a 400MW/800MWh independent shared energy storage station in Shanxi with an investment of approximately 1.2 billion yuan and another 400MW/1600MWh project with a total investment of 2 billion yuan, expected to generate annual revenue of 300 million yuan [5][6]. Group 4: Future Goals and Performance - The chairman of Shenzhen Yichu has set ambitious targets for the second half of the year, aiming to sign contracts for 30 GWh, commence construction on 20 GWh, and connect 10 GWh to the grid [6]. - By the end of 2024, Ganfeng Lithium's energy storage battery shipments reached 8,195.4 MWh, with energy storage business revenue exceeding 5 billion yuan, accounting for 15% of total revenue [6].

Core Viewpoint - The article highlights the ongoing development and opportunities in the energy storage sector, particularly focusing on the advancements and market positioning of Guangzhou Rongjie Energy Technology Co., Ltd. in the battery industry [2][4][5]. Group 1: Industry Events and Trends - The "2025 Starting Point Household Storage and Portable Energy Storage Battery Tour" has commenced, aiming to visit over 50 leading companies in the sector, culminating in a technology forum in Shenzhen on September 26, 2025 [2]. - A white paper and competitive ranking for the household storage and portable energy storage industry will be released during the forum, providing authoritative data and references for the industry [2]. Group 2: Company Overview - Guangzhou Rongjie Energy was established in June 2022, with a total investment of 20 billion RMB and a planned production capacity of 40 GWh, currently operating at approximately 20 GWh [4]. - The company focuses on the research, production, and sales of energy storage and power battery cells, utilizing self-developed lithium iron phosphate technology to enhance low-temperature performance and battery longevity [4]. Group 3: Market Position and Product Development - Rongjie Energy's parent company, Rongjie Investment Holding Group, has a market value exceeding 1.1 trillion RMB and has established a complete lithium energy industry chain from upstream lithium resources to downstream battery manufacturing [5]. - The company has achieved a leading position in the energy storage market, with production lines operating at full capacity for three consecutive months, placing it among the top tier in global energy storage battery shipments [5]. Group 4: Product Offerings and Market Demand - Rongjie Energy has developed a comprehensive product matrix for battery cells ranging from 72Ah to 587Ah, catering to various storage applications including large-scale, commercial, and household storage [5]. - The 102Ah battery cell has gained significant popularity in the dynamic storage market, with increasing demand and positive market feedback [9]. Group 5: International Expansion and Certification - The company is accelerating its efforts to obtain international certifications for its energy storage products, aligning with global standards in design, manufacturing, and quality management [11]. - Rongjie Energy is actively pursuing partnerships with well-known brands to expand its presence in overseas markets, particularly in Europe and Australia, where demand for household storage solutions is surging due to favorable subsidy policies [11].

Group 1 - The core viewpoint of the article emphasizes the importance of balancing performance and cost in battery cell procurement by automotive manufacturers [6] - BYD is expanding its operations in Southeast Asia, indicating a strategic move to tap into new markets [6] - CATL is experiencing growth in the energy storage market, which is outpacing its growth in the power battery sector [6]

Core Insights - The article highlights recent advancements in the energy storage sector, with four companies announcing projects totaling over 600 MWh in capacity [2][4]. Group 1: Company Developments - Envision Energy secured a contract for an 80 MW/240 MWh commercial energy storage system project with Nanjing Zhonghe, valued at approximately 141.6 million yuan [3]. - Envision Energy has reported a total of 13 energy storage orders and collaborations in the first half of the year, amounting to a capacity reserve of 2.42 GWh [4]. - Forerunner Intelligent has partnered with BayWa r.e. Solar Trade to expand its commercial energy storage distribution in Europe, covering 11 countries [6]. - Oriental Sunrise has shipped 80 liquid-cooled energy storage containers to California for a 40 MW/401.28 MWh project with Middle River Power [7][9]. - Zero Exploration Intelligent confirmed a 15 MW/30 MWh energy storage system deployment in Eastern Europe, set to be operational by Q2 2026 [10]. Group 2: Market Trends - The U.S. energy storage market has seen a steady increase in installation speed, with Q1 2025 adding 2.04 GW/5.03 GWh, marking a record high [9]. - The European energy storage market is projected to exceed 200 GWh of cumulative installed capacity by 2030, indicating rapid growth [12].

Report Overview - Report Date: August 6, 2025 - Report Title: Lithium Carbonate: Wide - Range Fluctuations, Resource - End Disturbances Unresolved - Analysts: Shao Wanyi (Investment Consulting Qualification No.: Z0015722), Liu Hongru (Contact, Futures Trading Qualification No.: F03124172) 1. Industry Investment Rating - No industry investment rating is provided in the report. 2. Core Viewpoints - The lithium carbonate market is experiencing wide - range fluctuations, and the resource - end disturbances have not been settled yet [1]. - The trend strength of lithium carbonate is 0, indicating a neutral view, with the range of trend strength being integers in the [-2, 2] interval, where -2 is the most bearish and 2 is the most bullish [4]. 3. Content Summary by Directory 3.1 Fundamental Data Tracking - **Futures Contracts**: For the 2509 contract, the closing price was 67,680 yuan, down 1,240 yuan from T - 1; the trading volume was 173,147 lots, down 74,751 lots; the open interest was 175,266 lots, down 32,504 lots. For the 2511 contract, the closing price was 67,840 yuan, down 1,200 yuan from T - 1; the trading volume was 437,207 lots, up 148,821 lots; the open interest was 232,062 lots, up 16,113 lots [2]. - **Warehouse Receipts**: The number of warehouse receipts was 14,443 lots, up 1,840 lots from T - 1 [2]. - **Basis**: The basis of spot - 2509 was 3,520 yuan, up 1,090 yuan from T - 1; the basis of spot - 2511 was 3,360 yuan, up 1,050 yuan from T - 1; the basis of 2509 - 2511 was - 160 yuan, down 40 yuan from T - 1 [2]. - **Raw Materials**: The price of lithium spodumene concentrate (6%, CIF China) was 760 yuan, unchanged from T - 1; the price of lithium mica (2.0% - 2.5%) was 1,710 yuan, unchanged from T - 1 [2]. - **Lithium Salts**: The price of battery - grade lithium carbonate was 71,200 yuan, down 150 yuan from T - 1; the price of industrial - grade lithium carbonate was 69,100 yuan, down 150 yuan from T - 1 [2]. - **Downstream Products**: The price of ternary material 523 (polycrystalline/consumer - type) was 110,360 yuan, up 80 yuan from T - 1; the price of ternary material 622 (polycrystalline/consumer - type) was 114,390 yuan, up 30 yuan from T - 1; the price of ternary material 811 (polycrystalline/power - type) was 145,230 yuan, up 60 yuan from T - 1 [2]. 3.2 Macro and Industry News - SMM's battery - grade lithium carbonate index price was 70,988 yuan/ton, down 139 yuan/ton from the previous working day; the average price of battery - grade lithium carbonate was 71,200 yuan/ton, down 150 yuan/ton; the average price of industrial - grade lithium carbonate was 69,100 yuan/ton, down 150 yuan/ton [3]. - In July 2025, the domestic energy storage market completed 9.0GW/25.8GWh of energy storage system and EPC general contracting procurement and bidding work, and another 1.73GWh of energy storage DC - side orders were finalized. The proportion of independent energy storage projects in the total procurement scale was as high as 92%, while the proportion of renewable energy - paired energy storage projects has been declining for several months, reaching only 3.8% in July [4].

Battery Production - In August, C produced 63 GWh, a month-on-month increase of 15% and a year-on-year increase of 40% [1] - B produced 25.2 GWh in August, with a month-on-month increase of 10% and a year-on-year increase of 50% [1] - E's preliminary production in August was over 12 GWh, showing a month-on-month increase of 2% and a year-on-year increase of 60% [1] - Z's production in August was close to 11 GWh, with a month-on-month increase of 5% and a year-on-year increase of 50% [1] - G produced nearly 10 GWh in August, reflecting a month-on-month increase of 10% and a year-on-year increase of 65% [1] Material Production - For ternary materials, production in August was 0.8 million tons, remaining flat month-on-month but down 30% year-on-year due to lower-than-expected demand in the US [1] - Lithium iron phosphate (LiFePO4) production was 1.8 million tons in August, flat month-on-month and unchanged year-on-year [1] - Another LiFePO4 production line produced 2.5 million tons, with a month-on-month increase of 10% and a year-on-year increase of 10% [1] - Separator production reached over 400 million square meters, remaining flat month-on-month and up 24% year-on-year [1] - Another separator line produced nearly 1 billion square meters, with a month-on-month increase of 9% and a year-on-year increase of 50% [1] - Anode production was 2.7 million tons in August, showing a month-on-month increase of 6% and a year-on-year increase of 30% [1] - Copper foil production was 8,000 tons, flat month-on-month and up 23% year-on-year [1] - Another copper foil line produced over 12,000 tons, with a month-on-month increase of 2% and a year-on-year increase of 33% [1] - Aluminum foil production was over 18,000 tons, remaining flat month-on-month and up 40% year-on-year [1] Industry Trends - The main engine manufacturers are focusing on balancing performance and cost in battery cell procurement [3] - BYD is expanding its presence in Southeast Asia [5] - CATL is experiencing growth in the energy storage market that exceeds that of the power market [5]

Investment Rating - The report maintains a "Buy" rating for the company [8] Core Insights - The company achieved a revenue of 178.886 billion yuan in H1 2025, representing a year-on-year growth of 7.27%, with a net profit of 30.485 billion yuan, up 33.33% year-on-year [5] - In Q2 2025, the company reported a revenue of 94.182 billion yuan, a year-on-year increase of 8.26% and a quarter-on-quarter increase of 11.19%, with a net profit of 16.523 billion yuan, up 33.73% year-on-year and 18.33% quarter-on-quarter [5] - The company continues to innovate with new products, maintaining a competitive edge and steadily increasing its global market share [5][8] Financial Performance - The company's operating cash flow net amount reached 58.687 billion yuan in H1 2025, a year-on-year increase of 31.26% [5] - As of the end of Q2 2025, the company's cash reserves amounted to 350.578 billion yuan, up 37.48% year-on-year [5] - The gross profit margin for H1 2025 was 25.02%, a decrease of 1.51 percentage points year-on-year, while the net profit margin was 18.09%, an increase of 3.17 percentage points year-on-year [5] Market Position and Growth - The company has a global market share of 38.1% in the power battery installation volume from January to May 2025, an increase of 0.6 percentage points year-on-year [5] - The company is the global leader in lithium batteries, with a strong focus on technology and product innovation, which supports its market position [8] - The company plans to accelerate the construction of battery swapping ecosystems and is expected to start small-scale production of solid-state batteries in 2027 [5]

Core Viewpoint - The global energy storage battery market is experiencing significant growth, with a projected shipment of 258 GWh in the first half of 2025, representing a year-on-year increase of 106% [1]. Group 1: Market Overview - Domestic manufacturers are expected to ship 252 GWh, showing a year-on-year growth of 109%, while overseas manufacturers are projected to ship 6 GWh, with a growth rate of 42.5% [1]. - Leading players such as Hicharge Energy, BYD, and China Innovation Aviation are seeing rapid growth, with their shipment volumes nearing 90% of last year's total in the first half of the year [1]. Group 2: Competitive Landscape - The market is characterized by a dominance of CATL, with strong competition from companies like EVE Energy, Hicharge Energy, and BYD [3]. - Major companies are increasingly adopting integrated development strategies, with a growing share of self-owned energy storage systems, particularly BYD [3]. Group 3: Emerging Markets - Significant acceleration in the delivery of large-scale energy storage projects in emerging markets is noted, including projects like BYD's 12.5 GWh in the Middle East and collaborations in Chile [4]. - Traditional markets are influenced by regulatory changes, such as China's 136 document leading to an early rush for installations, and the U.S. experiencing stockpiling due to the IRA Act [4]. Group 4: User Side Developments - The commercial sector in China is primarily focused on profit from peak-valley price differences, but recent policy changes have led to a cautious market sentiment [6]. - New commercial scenarios, such as solar-storage charging and data centers, are witnessing rapid growth despite traditional market challenges [6]. Group 5: Policy Support in Europe - European commercial and residential storage markets are benefiting from substantial subsidy policies, with the Netherlands allocating €100 million for battery storage projects [7]. - Belgium offers a 40% tax deduction for investments in solar and storage systems, the highest in its history, while Greece's subsidy program supports up to 50% for businesses installing storage systems [8].

Core Viewpoint - The lithium battery industry is experiencing a shift with improved profitability for leading battery manufacturers, a turning point for midstream materials, and continued pressure on upstream lithium mines [2]. Production and Sales Growth - In the first half of the year, China's lithium battery production reached 697.3 GWh, a year-on-year increase of 60.4%, while sales totaled 659.0 GWh, up 63.3% [2]. - The growth in production and sales is primarily driven by the expansion of the electric vehicle market, with new energy vehicle production and sales reaching 6.968 million and 6.937 million units, respectively, representing year-on-year growth of 41.4% and 40.3% [3][4]. Profitability of Leading Battery Manufacturers - Leading battery manufacturers such as CATL and BYD are expected to see significant profit growth, with CATL's production volume exceeding 100 GWh, reaching 128.6 GWh, accounting for 43.05% of the market [6]. - CATL's revenue for the second quarter is projected to be 104.7 billion RMB, with a net profit of 15.6 billion RMB, supported by an improved product mix [6]. - BYD's new energy vehicle sales have also increased by over 30% year-on-year, with net profit doubling to 9.155 billion RMB compared to the same period last year [6]. Midstream Material Performance - Negative electrode material companies are beginning to show signs of recovery, with Shanshan Co. expected to achieve a net profit of 160 million to 240 million RMB, a significant year-on-year increase of 810.41% to 1265.61% [9]. - The overall performance of differentiated technology layouts is validating the ability of companies to escape low-end competition, with companies like Zhongke Electric and Nord Co. seeing substantial profit increases due to early investments in high-value products [10]. Upstream Lithium Mining Challenges - The lithium mining sector is facing price declines, with companies like Shengxin Lithium Energy and Yongshan Lithium Industry predicting significant losses in the first half of the year [12][13]. - However, Tianqi Lithium has managed to turn a profit, with a projected net profit of up to 155 million RMB, supported by favorable external factors [13]. - Overall, the market anticipates that the oversupply of lithium will persist in the second half of the year, leading to continued price stabilization and industry restructuring [14].

Core Viewpoint - *ST Weir is attempting to transform its business by acquiring a 51% stake in Shanghai Zijiang New Materials Technology Co., Ltd. for 546 million yuan, aiming to enter the growing lithium battery materials industry after three consecutive years of losses [1][4][9] Group 1: Acquisition Details - The acquisition involves a cash payment to Zijiang Enterprises, Changjiang Chen Dao, and Ningde New Energy, with no issuance of new shares, thus not altering the company's equity structure [2] - The controlling shareholder of both *ST Weir and Zijiang Enterprises is Shen Wen, raising potential concerns about related party transactions [3] - The valuation of Zijiang New Materials was assessed at 1.1 billion yuan, reflecting a 105.61% increase in net asset value [3] Group 2: Financial Performance - *ST Weir has reported revenues of 148 million yuan, 157 million yuan, and 163 million yuan from 2022 to 2024, with corresponding net losses of 20.99 million yuan, 17.06 million yuan, and 17.24 million yuan [7] - The company expects a significant turnaround in the first half of 2025, projecting a net profit of 130 million to 165 million yuan, primarily due to the sale of its automation instrument assets [8] Group 3: Market Context - The lithium battery materials industry is experiencing growth driven by demand from the electric vehicle and energy storage markets, with Zijiang New Materials holding a 22.2% market share in aluminum-plastic film sales [4][9] - Zijiang New Materials has established stable partnerships with major battery manufacturers, but faces risks from high customer concentration, with the top five customers accounting for over 60% of revenue [5][6]