Guangdong Becoming Lithium Battery Production Hub

The area is responsible for more than 50 percent of the country’s aggregate lithium battery cells and packs.

Published: 08-Mar-2012

Guangdong province’s status as the largest electronics manufacturing hub in China extends to lithium batteries and packs. The area is responsible for more than 50 percent of the country’s aggregate output value for the line. In 2011, it exceeded the previous year’s $2.3 billion total by 10 to 20 percent, according to CCID Consulting. This growth rate will persist until end-2012, strengthening Guangdong’s key position in the category despite rising labor costs.

The coastal province continues to attract business owing to a strong industrial chain, which was established in its long manufacturing history dating back to the early 1980s. The area hosts providers of materials, components and production equipment. Various terminal device suppliers also congregate there, offering a captive market.

In addition, preferential policies remain in place. Strong local government support covers access to financial resources for domestic companies pursuing advancement in the line. As an additional impetus, there is the Medium- and Long-Term Science & Technology Development Plan in Guangdong Province (2006-20). Within its new-energy scope are high-performance yet low-cost lithium batteries and packs. The province’s proximity to Hong Kong is also a key advantage. This facilitates access to the territory’s research institutes and specialists. Companies with an exporting arm there can also ship products from Hong Kong.


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