On August 11, Hefei Guoxuan Jitaimei Battery Technology Co., Ltd., a holding subsidiary of Gotion High-Tech, signed a cooperation agreement on a small power battery project with Lujiang High-Tech Zone. The two parties will join hands to enter the small power market and build Gotion High-Tech’s third growth pole.
According to news from Gotion High-Tech (002074.SZ), on August 11, Hefei Guoxuan Jitaimei Battery Technology Co., Ltd. (referred to as “Guoxuan Jitaimei”), a holding subsidiary of Gotion High-Tech, signed a cooperation agreement on a small power battery project with Lujiang High-Tech Zone. The two parties will join hands to enter the small power market and build Gotion High-Tech’s third growth pole.
Xu Huawa, Secretary of the Lujiang County Party Committee, and Li Zhen, Chairman of Gotion High-Tech, attended the event and witnessed the signing.
- What is the market space for small power batteries?
- Small power batteries refer to power batteries used in fields such as two-wheeled/three-wheeled electric vehicles, power tools, and drones, which have high requirements for high-rate charge and discharge and long cycle life.
- In the lithium battery market for two-wheeled/three-wheeled electric vehicles, data shows that the global installed capacity of lithium batteries for electric two-wheeled/three-wheeled vehicles will be at least 42GWh in 2024 (calculated based on 70 million vehicles and an average power consumption of 0.6KWh per vehicle). In addition, the new national standard policy promotes the replacement of lead-acid batteries with lithium batteries, and the demand for stock replacement reaches 150GWh.
- In the lithium battery market for power tools, data shows that the shipment volume of lithium batteries for power tools reached 2.63 billion in 2024, a year-on-year increase of 25.4%; the industry expects that the demand for lithium batteries for power tools will be about 4.2 billion and 5 billion from 2025 to 2026, with corresponding market scales of 35.5GWh and 42GWh respectively.
In the drone lithium battery market, data shows that in 2024, calculated at an average price of lithium batteries of 0.6 USD/Wh (about 4.3 CNY/Wh), the global installed capacity was about 25.7GWh. In the future, with the development of drones, the drone lithium battery market will expand rapidly.
Gotion High-Tech stated as follows: Xu Xingwu, Chairman of Guoxuan Jitaimei, introduced that the number of electric two-wheeled vehicles in China exceeds 400 million, and the penetration rate of lithium batteries is less than 10%. The “lead-acid to lithium battery” technological revolution has spawned a 100-billion-level market; secondly, the outbreak of emerging scenarios such as low-altitude aircraft, electric ships, and construction machinery has driven the global market application of small power batteries and created new industrial space.
Li Zhen, Chairman of Gotion High-Tech, said that the average daily electricity consumption of new energy vehicles in China is only 330 million KWh, accounting for only 1.2% of China’s average daily electricity consumption of the whole society, so energy storage lithium batteries have a broad market space. If China’s daily electricity consumption is shifted by two hours, the demand for energy storage batteries in China will exceed 10,000 GWh, and small power batteries will be the “third growth pole” after power batteries and energy storage.
- Technical Strength of Gotion High-Tech
Lithium Battery noticed that Gotion High-Tech has made achievements in the low-altitude economy field: on June 18, Gotion High-Tech announced that it has reached a strategic cooperation with EHang Intelligent, focusing on the power system upgrade of EHang Intelligent’s flagship product EH216 series unmanned electric vertical take-off and landing aircraft (eVTOL), and plans to deepen cooperation in multi-model fields in the future to promote the high-quality development of the low-altitude economy industry.
- On the product side, Gotion High-Tech released the Jinshi all-solid-state battery (with an energy density of 350Wh/kg) and the G-Yuan quasi-solid-state battery (with an energy density of 300Wh/kg) at its 2025 Global Technology Conference. At the same time, Gotion High-Tech stated that the first pilot line of “Jinshi” all-solid-state batteries has been officially put into operation, with a designed capacity of 0.2GWh, and a 12GWh quasi-solid-state battery production line has been planned.
- Especially in the production link, the company has introduced an automatic quick-connect part assembly machine, which realizes millisecond-level precise docking of key components such as battery tabs and connectors through high-speed alignment and intelligent locking technology, greatly improving the assembly efficiency and consistency of small power batteries, and laying a solid foundation for large-scale mass production.
- Returning to the Lujiang production base, it is reported that on February 11, 2015, Gotion High-Tech’s first 50,000-ton power battery cathode material project was signed and settled in Lujiang, kicking off the cooperation between the two parties.
- Over the past decade, Gotion High-Tech has launched 10 projects in Lujiang, ranging from lithium iron phosphate cathode materials to high-nickel ternary battery cathode materials, and from battery production to battery recycling. Gotion High-Tech has established a complete new energy industry chain layout in Lujiang High-Tech Zone.
In terms of market position, data released by the Battery Innovation Alliance on August 11 shows that from January to July 2025, Gotion High-Tech’s domestic power battery loading volume reached 18.18GWh, ranking fourth in China.
In addition, Gotion High-Tech’s energy storage batteries have received orders from Volkswagen Group, ranking seventh in the global energy storage battery shipment list in the first half of 2025.
- About Guoxuan Jitaimei
Qichacha information shows that Guoxuan Jitaimei was established on August 7, 2025, with Xu Xingwu as the legal representative and a registered capital of 100 million CNY. Its business scope includes battery manufacturing; battery sales; battery parts production; battery parts sales; storage battery rental; centralized fast charging stations; sales of pneumatic and electric tools; research and development of resource recycling technology; research and development of energy recovery systems; research and development of new materials technology, etc.
Gotion High-Tech holds a 65% stake in Guoxuan Jitaimei, and the other 25% is held by Hefei Jitaimei Equity Investment Partnership (Limited Partnership).
Obviously, the newly established Guoxuan Jitaimei is to undertake Gotion High-Tech’s small power battery business.
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