ILC Partner Ganfeng expects to double its capacity
Ganfeng expects to double its capacity from 100,000 metric tons in 2020 to 200,000 by 2025. Given the growth potential of EV sales, OEMs and battery producers are likely going to enter additional offtake agreements to secure access to lithium. This surging demand should help companies like Ganfeng secure long-term contracts at higher prices.
Ganfeng is also focused on growing its lithium hydroxide production and sales. Lithium hydroxide is better suited than lithium carbonate for the next generation of EV battery technology. Batteries with NMC 811 cathodes and other nickel-rich batteries, require lithium hydroxide.5 By 2021, the company expects to produce and sell 50,000–60,000 metric tons of lithium hydroxide and 20,000–30,000 metric tons of lithium carbonate.