By Greg Gao

(JW Insights) Jun 25 -- Chinese leading lithium battery materials provider Zhejiang Huayou Cobalt (浙江华友钴业) intends to build a high-nickel traction battery ternary cathode plant in Hungary with an investment of Euros1.278 billion  through its holding subsidiary Bamo Technology Hungary Kft, announced the company recently.

The initial phase of the plant will have a capacity of 25,000 tons of cathode materials per year with an investment of Euros 252 million. The construction period is estimated to be two years.

Huayou Cobalt stated that this investment in the construction of a lithium battery material project in Europe aligns with the company’s medium- to long-term development strategy and is a significant step in its internationalization strategy. 

It aims to meet the rapidly-growing demand for lithium battery materials driven by the booming global electric vehicle industry. This move is expected to enhance and consolidate the company’s market position in the battery industry, facilitating rapid development and contributing to improved profitability and sustainable growth, Huayou Cobalt added.

Founded in 2002 and listed on Shanghai Stock Exchange in 2015, Huayou is mainly engaged in the R&D and manufacturing of EV lithium batteries and new cobalt materials. It is headquartered in the Tongxiang Economic Development Zone in eastern China’s Zhejiang Province.