According to a report by China Daily on March 30…
Wanhua accelerates China’s new energy ambitions with cutting-edge battery materials production
YANTAI, China — East China’s Yantai is fast becoming a hub for next-generation battery materials, as Wanhua’s Haiyang Green Power Industrial Park marks a major milestone in the city’s push toward clean energy industrialization.
On March 28, the industrial park celebrated the start of operations for Phase I and the groundbreaking of Phase II, signaling an ambitious plan to build a globally competitive battery materials cluster. The project leverages world-class lithium iron phosphate cathode technology, delivering high energy density, ultra-long cycle life, and enhanced safety for power batteries and energy storage systems. Phase I has already achieved mass production of fourth-generation battery materials, setting new standards in both energy density and system integration.
Strong Demand and Strategic Partnerships
The products have already attracted attention from both domestic and international clients. To encourage local consumption of green power and navigate emerging green trade barriers, the park is piloting green power trading and direct energy connections. Phase II construction is expected to be completed by the end of 2026, further expanding production capabilities.
Additionally, a lithium iron phosphate project in Laizhou, another Yantai city district, is under construction with an annual capacity of 650,000 metric tons, injecting further momentum into the region’s burgeoning new energy sector.
Yantai’s Green Energy Edge
Yantai is recognized as a national pilot city for peak carbon emissions, and its clean energy portfolio now exceeds 700 billion yuan ($97.2 billion), with installed capacity surpassing 20 gigawatts. The city’s abundant nuclear, wind, and solar resources provide a solid foundation for using low-carbon electricity in high-tech manufacturing projects like Wanhua’s battery parks.
The city has also developed a complete wind power industrial chain, covering turbines, blades, and submarine cables. In the battery sector, other major initiatives include the Weichai-FinDreams New Energy Power Industrial Park, complementing Wanhua’s Haiyang and Laizhou parks. These projects are expected to bring core products into production, expanding opportunities for collaboration and innovation in Yantai’s clean energy ecosystem.
A Global Investment Opportunity
For overseas investors, Yantai presents a rare combination of:
- Advanced technology adoption – fourth-generation lithium iron phosphate materials
- Strong local policy support – peak carbon pilot city incentives
- Integrated supply chains – from energy generation to battery production
- Export potential – partnerships with international clients and green power innovations
Together, these factors make Yantai a compelling case study of China’s broader push toward industrial upgrading, green energy, and sustainable growth.