Expanding Horizons: Guangdong Brunp's Strategic Growth in LFP Battery Production

Brunp

Brunp's Bold Expansion in Lithium-Iron-Phosphate Capacity

Guangdong Brunp, a leading Chinese manufacturer in battery cathode materials and precursors, has announced plans for a significant expansion of its lithium-iron-phosphate (LFP) production capabilities in Yichang, Hubei Province. The company is set to invest 5 billion yuan ($682 million) to construct a new 450,000 ton per year LFP facility, marking a major step in meeting the growing demand for these batteries.

Details of the Expansion Plan

Scheduled to unfold in two phases, the project's finer details, including construction timelines and launch dates, remain under wraps. This expansion is part of Brunp's broader strategy to strengthen its foothold in the LFP market, a segment that is becoming increasingly vital due to its cost-efficiency in electric vehicle (EV) applications.

The Role of LFP Batteries in the Global Market

With the ownership of a 64.8% stake by Contemporary Amperex Technology (CATL), the world's largest lithium-ion battery manufacturer, Brunp is well-positioned to capitalize on the industry's shifts. China, as the leading battery producer, saw LFP batteries comprising 74.4% of its total production in 2024. These batteries are preferred for their safety and cost advantages, especially following subsidy cuts in China for new energy vehicles.