A supplementary agreement witnessed the birth of the second largest order in the lithium iron phosphate industry this year. In 2025, Longpan Technology's subsidiaries Changzhou Lithium Source, Nanjing Lithium Source, and Chu Neng New Energy jointly signed Supplementary Agreement 2, significantly increasing the supply of lithium iron phosphate cathode materials from 150000 tons to 1.3 million tons, with an estimated total sales amount exceeding 45 billion yuan. This new agreement, which is nearly 9 times the original order, not only sets a new industry record, but also highlights the strong demand for lithium iron phosphate materials in the new energy vehicle and energy storage markets.

The leap from 5 billion to 45 billion

The cooperation between Longpan Technology and Chu Neng New Energy began in May 2025, when an agreement was signed to supply 150000 tons of lithium iron phosphate between 2025 and 2029, with a total amount of approximately 5 billion yuan. Surprisingly, in just six months, both parties renegotiated and increased the supply to 1.3 million tons, with a deadline extended until 2030. This adjustment brings the total contract amount to 45 billion yuan, becoming the second largest order in the industry after the 47 billion yuan cooperation between Wanrun New Energy and Ningde Times. Longpan Technology, as the leading enterprise in terms of shipment volume in the industry in 2024, has further consolidated its market position with this large order.

New energy vehicles and energy storage dual wheel drive

Behind the surge in orders for lithium iron phosphate is the flourishing development of downstream industries. In the first half of 2025, the production and sales of new energy vehicles in China will both exceed 6.9 million units, with a growth rate of over 40%. From July to September, the production increased from 1.243 million vehicles to 1.617 million vehicles, showing a continuous growth trend. In the field of energy storage, the rush to install "531" and the concentrated release of demand from Australia and Europe have driven the high operating rate of energy storage cell factories. As a dark horse in the industry, Chu Neng New Energy has accumulated shipments of over 50GWh and new orders exceeding 100GWh in the first three quarters. Its 500GWh production capacity plan requires stable material supply guarantee. Keywords: strategic news, strategic news information

The pattern of high-end products in short supply and demand is emerging

In 2025, the lithium iron phosphate industry will see frequent orders worth billions of yuan. In addition to this cooperation, Wanrun New Energy, Longpan Technology, Yiwei Malaysia, Ningde Times, and others have all signed major supply agreements. These orders are concentrated in the top enterprises, reflecting the current situation of "low-end surplus and high-end tightness" in the market. Against the backdrop of downstream pursuit of ultra fast charging technology, there has been a surge in demand for high-end products such as high-voltage solid density lithium iron phosphate. The high-end product series of enterprises such as Hunan Yuneng and Anda Technology have encountered a situation of supply shortage. It is expected that in the future, top enterprises will continue to obtain high premium orders with their technological advantages, while the survival space of small and medium-sized enterprises will be further compressed, and the industry reshuffle process will accelerate. Editor/Yang Beihua