Bolstered by the investment from Volkswagen last spring, the Chinese battery manufacturer Gotion High-Tech alias Guoxuan is preparing to expand the production capacity for its cells. The talk is of 28 GWh annual capacity, which the company plans to reach this year.
This is the reported by Yicai Global, which went on to add that Gotion High-Tech plans to jump to 80 GWh in 2023 and to 100 GWh annual capacity by 2025. The company also has ambitious targets for energy density: By 2022, Gotion High-Tech wants to reach the 260 Wh/kg mark for cobalt-free LFP cells and 350 Wh/kg for NCM cells. According to media reports, the energy density of Gotion’s current LFP cells is a maximum of 190 Wh/kg. The production of NCM cells has not yet been part of the Group’s core business.
After CATL and BYD, Gotion is China’s third largest manufacturer of battery cells. At the end of May, Volkswagen announced its intention to invest around one billion euros in Gotion High-Tech and become the company’s largest shareholder with 26 per cent. With this investment, Volkswagen intends to secure the future demand for battery capacity for its Chinese electric vehicle models. The transaction is expected to be completed by the end of this year.
Only a few weeks after the announcement of Volkswagen’s investment, Gotion High-Tech presented plans to build a cathode materials factory in the Chinese city of Hefei and to build another battery factory with a capacity of 16 GWh. The cathode materials project in Hefei is expected to play a key role in building lithium ion battery capacity in addition to the current focus on lithium iron phosphate technology.