450,000 Tons Lithium Iron Phosphate Project Soon to Be Put Into Production, Domestic Market Demand Remains Huge

Recently, the Management Committee of Yichang High-tech Zone in Hubei announced the completion acceptance information of the BAMP Integrated Battery Materials Industrial Park — BAMP Era Lithium-ion Battery New Materials Project. This news marks that the project has successfully passed the acceptance inspection and is only one step away from official production. Previously, Hubei Daily reported that the new generation of BAMP Era lithium iron phosphate project will be put into production by the end of this year, with its single workshop designed capacity ranking first in China.

It is reported that the project plans to build three production workshops, each with a designed annual capacity of 150,000 tons, for a total annual capacity of 450,000 tons. The project adopts industry-leading fourth-generation lithium iron phosphate technology, using iron phosphate and lithium carbonate as the main raw materials to produce a new generation of lithium iron phosphate products.

From the perspective of market demand, in 2025, CATL's Shenxing battery is expected to continue to increase in volume, and the higher-performance Shenxing Plus battery will also be installed, with its shipment ratio expected to further rise. Meanwhile, BYD plans to launch the second-generation blade battery in 2025, which will have breakthroughs in energy density and charging rate compared to the first generation. Additionally, high-performance lithium iron phosphate batteries from battery manufacturers such as Sunwoda and SVOLT will also gradually increase in volume. This series of market dynamics will lead to a significant increase in demand for high-voltage lithium iron phosphate products.

Industry analysts have pointed out that the demand for fourth-generation lithium iron phosphate from just CATL’s Shenxing battery and BYD’s second-generation blade battery will exceed 800,000 tons. In the face of such enormous market demand, companies that do not yet possess the capability to produce fourth-generation lithium iron phosphate are actively promoting technological upgrades and accelerating the implementation of related production capacity. Some enterprises have even begun developing fifth-generation technology with a density of over 2.70g/cm³.

On January 12 this year, the Yichang Municipal Government and Yichang Bangpu Times New Energy Co., Ltd. signed an investment agreement for a 450,000-ton new generation lithium iron phosphate project in Foshan, Guangdong. The project officially began construction in February, completed acceptance inspection on August 4, and is expected to start production in December, truly achieving an efficient construction pace of signing, starting, and commissioning within the same year.