Ronbay Boosts 3Q Battery Cathode Active Material Sales Amid Rising EV Demand

Ronbay

Ningbo Ronbay, a leading Chinese manufacturer of battery cathode active materials (CAM), has reported a significant increase in sales for the third quarter of 2023, driven by surging demand from the electric vehicle (EV) sector. Ronbay’s strong performance was reflected in a 27% increase in ternary CAM sales compared to the same period last year, reaching over 35,000 tons. The company’s market share in the global CAM market now stands at 14.4%, up by four percentage points from the previous quarter, solidifying its position as the market leader since 2022.

Record Sales and Expansion of Ultra-High Nickel CAMs

In the first three quarters of 2023, Ronbay’s sales of ultra-high nickel CAMs surpassed 20,000 tons, highlighting the growing demand for high-energy-density batteries used in EVs and advanced battery technologies. The company's overseas shipments of all ternary CAMs reached nearly 15,000 tons, further underscoring its strong international presence.

Ronbay also saw a significant boost in its sales of battery precursors, which rose by 69% from the previous quarter to nearly 10,000 tons in the third quarter. These precursors are essential for the production of high-performance cathode materials used in lithium-ion batteries.

R&D Investment and Expansion Plans

To support its continued growth, Ronbay has significantly increased its research and development expenditure, up by 41% year-on-year, reaching 312 million yuan ($43.8 million) in the first nine months of 2023. This investment is aimed at ensuring steady shipments of ultra-high nickel CAMs, which are critical for the development of semi-solid state batteries and solid-state batteries. Ronbay has already secured certification for its ultra-high nickel CAMs from several domestic and international customers.

International Expansion and Future Prospects

In line with its growth strategy, Ronbay has been expanding its overseas production capacity. The first phase of its battery CAM project in South Korea is ramping up output, with a planned capacity of 20,000 tons per year. Additionally, the company is moving forward with the construction of the second phase, which will increase capacity to 40,000 tons per year to meet demand not only from South Korea but also from markets in Japan, Europe, and the US. Ronbay is also exploring the feasibility of a 20,000 tons per year plant in Poland and has established subsidiaries in the US to strengthen its global footprint.

By the end of 2023, Ronbay had expanded its total cathode material capacity to 200,000 tons per year, which includes 10,000 tons per year for lithium manganese iron phosphate (LMFP) and 20,000 tons per year in South Korea. This expansion positions Ronbay as a major player in the global battery materials market, particularly in the rapidly growing EV sector.