Sichuan Changhong Electric group to build $28 mil. lithium ion battery plant
TOKYO, NNA – Major Chinese home electronics maker Sichuan Changhong Electric Co. group will invest 1.958 billion yuan ($28 million) in building a lithium ion battery plant to cash in on growing global demand.
Changhong Sunpower New Energy Co., its group arm, embarked on the construction of a plant in Mianyang, Sichuan Province, on Saturday to produce the batteries for electric vehicles and bikes as well as home appliances, the group said in a statement on Monday
Changhong Sunpower New Energy, based in Taixing in the eastern coastal province of Jiangsu, is undertaking the project in two phases, with the first for scheduled operation in the second half of 2021, the statement said.
The second phase of plant building for expansion will begin in 2022 and production is planned to start in the second half of 2023, it said.
Changhong Sunpower New Energy, which was renamed from Jiangsu Sunpower Co. after the Changhong group took it over in 2017, is known for its Sunpower brand lithium ion batteries and currently produces power output equivalent to 1.2 million kilowatts annually, according to the battery maker.
Upon completion of the plant, the group expects to generate sales of over 3 billion yuan, the group said in the statement.
Global lithium ion battery demand is expected to grow 14.3 percent annually from 2018 through 2025 to top $100 billion, according to the Chinese group’s statement, citing data from Adroit Market Research based in the United States.