The recent success in attracting the lithium project worth 10.6 billion yuan (about 1.55 billion U.S. dollars) of the Jiangxi Huanli New Energy Technology Co., Ltd. is a significant breakthrough in Chongqing's endeavors for investment attraction.
This Duze-based project significantly boosts the regional new energy industry and is expected to drive Chongqing's economic growth.
Chongqing has been attracting new energy-related companies and boosting the new energy industry. One key strategy is establishing a world-class intelligent connected new energy vehicle (NEV) industry cluster by 2030. This cluster will enable the region to fully integrate the upstream and downstream industries, from raw materials to manufacturing and sales.
To achieve this goal, The city optimizes its industrial structure and enhances the competitiveness of its new energy industry. The local government has identified lithium storage as an important plan component. The aim is to enable new energy companies like Jiangxi Huanli to participate in expanding the industrial upstream and downstream chains.
"Oil" of the new energy era
As the lightest and least dense metal in nature, the lithium battery supply chain has become the key to the development of the electric vehicle industry in the new energy era. It is known as the "oil" of the new energy era.
With lithium being the key component of electric vehicle batteries, the demand for lithium is expected to surge to 15 million tons by 2060, creating a significant gap in supply. By attracting new energy companies like Jiangxi Huanli New Energy Technology Co., Ltd., Chongqing is positioning itself as a major player in the global new energy industry.
Dazu Industrial Park, Chongqing. （Photo/Dazu Convergence Media Center）
The Jiangxi Huanli New Energy Technology is a full-component recycling and comprehensive automotive power lithium battery base.
This lithium project is designed to recycle 100,000 units of new energy end-of-life vehicles annually and process 150,000 tons of retired batteries while recycling 30,000 tons of battery-grade lithium hydroxide and lithium carbonate.
The project is expected to fill the industry gaps in Chongqing and the western region of the automotive power battery recycling chain.
When the project is completed and implemented in 2025, it will help Chongqing's new energy automotive industry to form a real industry chain closed loop.
With the successful completion of this project, Chongqing is expected to attract more new energy-related companies and further boost the new energy industry. This will help the region meet the growing demand for lithium, drive economic growth, and promote sustainable development.