SVOLT signed a strategic cooperation agreement with Chengdu Municipal Government
On September 16, the 11th Western China Investment Briefing and Economic Cooperation Project Signing Ceremony was held in Chengdu. Leaders and famous enterprises from the National Development and Reform Commission and 10 western provinces, autonomous regions and municipalities attended the event, and 11 representative projects were signed on site. SVOLT signed a strategic cooperation agreement with Chengdu Municipal Government to build a battery manufacturing base with a total capacity of 60GWh as well as a southwest R&D base in Chengdu at a cost of 22 billion RMB. Yang Hongxin, Chairman and CEO of SVOLT, attended the signing ceremony.
The SVOLT (Chengdu) Battery Manufacturing and Southwest R&D Base Project is located in the Jianzhou New Town in the eastern Chengdu, covering an area of about 2,500 mu. The project is planned to be built in three phases, each phase with a capacity of about 20GWh, and the investment in Phase I is about 10 billion RMB and the proposed land area is about 767 mu. After the Suining base with the capacity of 20GWh, this is the largest single investment project and manufacturing base with highest capacity planning of SVOLT in Sichuan, which plays a crucial strategic role in the capacity planning of SVOLT. So far, SVOLT has added capacity of 150GWh in 2021, which is close to the total target of 200GWh by 2025.
At the signing ceremony, Yang Hongxin said that SVOLT has always taken the construction and development especially in Sichuan of the southwest market, as an important part of the global production capacity layout. The location of Chengdu is based on the three core advantages of Chengdu, namely, abundant advantages of resources, talents and capital. Secondly, rich application scenarios, as new energy vehicles are widely used in the local area and have a broad market. Thirdly, perfect comprehensive support, with policy dividends and perfect industrial layout. In the future, SVOLT will increase the construction of two bases in Sichuan Suining and Chengdu, actively absorb talents in the lithium industry, and make positive contributions to the development of local and even Chinese lithium industry.
Wang Fengzhao, Deputy Secretary of Chengdu Municipal Party Committee, Mayor of Chengdu Municipal Government and Secretary of the Party Group, said that the strategic cooperation between SVOLT and Chengdu will inject strong innovative vitality into the development of Chengdu, lead the green and efficient development of Chengdu industry, increase upstream and downstream industrial development momentum, drive the development of Chengdu's local economy, and thus promote the development of Sichuan's lithium industry.
Currently, the global new energy vehicle industry is in the golden period of rapid development. According to data, global new energy passenger car sales are expected to reach 18 million by 2025, and the global demand for battery capacity will exceed 1 TWh. Driven by high demand, battery companies at home and abroad are vigorously expanding production. As a high-tech enterprise in the global battery industry, SVOLT has been laying out its production capacity globally at a very high speed, with production bases all over the world in just three years. In the first half of 2021 alone, SVOLT invested in the construction of production bases and intelligent factories in Suining of Sichuan province, Huzhou of Zhejiang Province, Ma’anshan of Anhui province and Nanjing Lishui.
