China issues draft guidelines to rein in lithium battery industry

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Lithium Ion Battery

BEIJING, May 9 — China has released draft guidelines aimed at reining in the country’s lithium battery industry, which has been in Western crosshairs over fears subsidised...

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Lithium-ion batteries are a form of rechargeable energy storage used in everything from electric cars to scooters, laptops and motorised wheelchairs. — Sergii Chernov/Shutterstock picBEIJING, May 9 — China has released draft guidelines aimed at reining in the country’s lithium battery industry, which has been in Western crosshairs over fears subsidised overproduction could flood global markets with cut-price exports.

China is the world’s largest lithium battery market, accounting for some 57 per cent of global demand in 2022, according to the Economist Intelligence Unit. They should instead “strengthen technical innovation, raise product quality and lower production costs”, the document said.Existing factories in protected areas should be shut down or “strictly control their scale and gradually move away”, according to the document.

 

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