CATL signs $17.2 billion lithium order as world's largest EV battery maker secures key material supply

• Ronbay will supply CATL with 3.05 million tons of LFP cathode material from the first quarter of 2026 through 2031.
• CATL is also investing in another Chinese LFP material supplier, Fulin Precision Machining.

CATL (HKG: 3750, SHE: 300750) has secured a massive lithium iron phosphate (LFP) material order and invested in another lithium supplier as the world's largest power battery manufacturer locks in future supplies of critical materials.

Shanghai-listed Ningbo Ronbay New Energy Technology (SHA: 688005) has signed an LFP cathode material agreement with CATL to supply the battery maker from the first quarter of 2026 through 2031, according to a Tuesday exchange filing.

Ronbay expects to supply CATL with 3.05 million tons of LFP cathode material during the agreement period, with total sales exceeding RMB 120 billion ($17.2 billion).

This represents the largest order to date in the lithium and battery industries, drawing widespread attention.

The Shanghai Stock Exchange subsequently requested Ronbay to supplement disclosures regarding specific annual production capacity commitments under the agreement and the company's fulfillment capabilities, according to another announcement.

Ronbay was also required to clarify the potential impact of factors including raw material price volatility risks, procurement demand uncertainties, and unpredictability of production capacity reserves.

Ronbay's primary products are battery cathode materials, particularly ternary materials. It formally entered the LFP sector in 2025.

Beyond the substantial order with Ronbay, CATL is planning to invest in another Chinese LFP material supplier, Fulin Precision Machining (SHE:300432).

Shenzhen-listed Fulin announced in a stock exchange filing on Tuesday that it will introduce CATL as a strategic investor through a private placement, aiming to raise a total of RMB 3.18 billion.

CATL previously held no stake in Fulin but will acquire over 5% of its shares upon completion of the issuance.

Fulin plans to allocate the raised funds toward projects including a 500,000-ton annual production capacity for high-end LFP materials for energy storage and key components for EV electric drive systems.

CATL's dual moves come as a significant surge in lithium prices in China. Since December, spot prices for battery-grade lithium carbonate have climbed 73% in China, from RMB 95,000 per ton to RMB 164,000 per ton.

Global EV battery market share in Jan-Nov 2025: CATL 38.2%, BYD 16.7%

CATL and BYD collectively installed 575.2 GWh of EV batteries from January to November 2025, accounting for 54.9% of the global total.

Battery

Jan 7, 2026

($1 = RMB 6.9756)