--- title: "China’s lithium giant Ganfeng sees profit jump as EV, ESS battery demand soars" type: "News" locale: "en" url: "https://longbridge.com/en/news/283060656.md" description: "Ganfeng Lithium, the world's largest lithium producer, forecasts a profit of 1.6 to 2.1 billion yuan for Q1, driven by soaring demand for EV and ESS batteries. This marks a significant recovery from a net loss of 360 million yuan a year prior. The company attributes its success to rising lithium prices and increased orders, benefiting from the global renewable energy push. Analysts suggest that Ganfeng's market leadership and expanded capacity position it well for continued growth amid rising EV adoption and energy storage needs." datetime: "2026-04-16T22:27:10.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/283060656.md) - [en](https://longbridge.com/en/news/283060656.md) - [zh-HK](https://longbridge.com/zh-HK/news/283060656.md) --- # China’s lithium giant Ganfeng sees profit jump as EV, ESS battery demand soars Ganfeng Lithium, the world’s largest producer of lithium metal, has issued a strong profit forecast for the first quarter of this year as soaring demand for electric vehicles (EVs) and energy storage system (ESS) batteries lifted earnings. The company, based in China’s central Jiangxi province, said in an exchange filing on Thursday that increasing orders had driven up prices of lithium – a key material for EV and ESS batteries – helping it post an estimated profit of 1.6 billion yuan (US$234 million) to 2.1 billion yuan in the three months to March, compared with a net loss of 360 million yuan a year earlier. “Benefiting from the rapid development of the global renewable energy industries and strong demand for lithium salts from downstream customers, selling prices of the company’s products jumped from the same period last year,” said Ganfeng – dual listed in Hong Kong and Shenzhen – in the filing. “A sustainable growth in EV battery and ESS businesses has resulted in a hefty gain in both production and sales.” The performance was in line with Ganfeng’s expectation. Its executives, including president Wang Xiaoshen, told an investors’ conference on March 31 that the global decarbonisation drive had created a strong and sustainable trajectory for the company. The global energy shock arising from the Middle East conflict could further fuel Ganfeng’s growth this year as more consumers pivot away from petrol vehicles to EVs amid fears of higher fuel bills, according to analysts. “Big players are the top beneficiaries of a sudden jump in demand,” said Ivan Li, a researcher at Loyal Wealth Management in Shanghai. “As a market leader, Ganfeng’s expanded manufacturing capacity will help it secure more orders for lithium products.” Ganfeng, which counts Tesla and BMW as its clients, said in the filing that it had put new lithium projects into operation in the first quarter. Prices of lithium have rebounded more than 150 per cent from last year’s trough of about 70,000 yuan per tonne in June, bolstered by a global investment boom in artificial intelligence and a rush of EV purchases. AI computing and data centres, a new power-consumption driver, are driving constant growth in demand for ESS, which includes batteries and systems for battery management, power conversion and control to help store excess energy generated from renewable sources. China now dominated the global ESS industry, with its companies accounting for more than 80 per cent of the market, according to Seoul-based SNE Research. As China’s ESS sector expands rapidly with government backing, the US is racing to catch up, with Washington moving to restructure supply chains to exclude Chinese-made batteries and components. On Wednesday, Contemporary Amperex Technology Limited (CATL), the world’s largest EV battery producer, announced it would invest 30 billion yuan to establish a subsidiary to safeguard supply of raw materials for its core businesses, as surging demand for EVs and ESS prompted it to accelerate production. Separately, Shanghai-listed Zhejiang Huayou Cobalt, which develops and produces lithium battery materials, said its first-quarter earnings jumped 99.5 per cent to 2.5 billion yuan, driven by rising metal prices and stronger sales. Also on Thursday, Hunan Gold, a Shenzhen-listed mining and processing firm, issued a profit alert saying its earnings from January to March would surge by as much as 90 per cent to 631 million yuan, spurred by rising metal prices. ### Related Stocks - [01772.HK](https://longbridge.com/en/quote/01772.HK.md) - [002460.CN](https://longbridge.com/en/quote/002460.CN.md) - [TSLA.US](https://longbridge.com/en/quote/TSLA.US.md) - [BMW.DE](https://longbridge.com/en/quote/BMW.DE.md) - [300750.CN](https://longbridge.com/en/quote/300750.CN.md) - [03750.HK](https://longbridge.com/en/quote/03750.HK.md) - [603799.CN](https://longbridge.com/en/quote/603799.CN.md) - [002155.CN](https://longbridge.com/en/quote/002155.CN.md) - [BMWYY.US](https://longbridge.com/en/quote/BMWYY.US.md) - [BMW3.DE](https://longbridge.com/en/quote/BMW3.DE.md) - [HCCD.SG](https://longbridge.com/en/quote/HCCD.SG.md) ## Related News & Research - [Ganfeng Lithium Signals Sharp First-Quarter Profit Rebound on Strong Demand](https://longbridge.com/en/news/283017227.md) - [Ganfeng Lithium sees surge in battery demand amid China-US energy rivalry](https://longbridge.com/en/news/281343364.md) - [Philippine Coach Builder Makes EV Isetta-like EV and Hopes to Scale](https://longbridge.com/en/news/282456362.md) - [04:38 ETDomácí LiFePO4 baterie FLB48314TG1-H od společnosti Felicitysolar získala ocenění Red Dot Design Award 2026](https://longbridge.com/en/news/282510502.md) - [Backup power is the LEAST interesting thing your home battery can do](https://longbridge.com/en/news/282454384.md)