Research and analysis of Chinese lithium-ion battery manufacturers: Gotion High-Tech

Market Position/Overview: Founded in 2006 in Hefei, Anhui Province, GOTION High-Tech is a leading battery manufacturer in China.
Since its establishment, the company has been involved in the development of automotive lithium-ion batteries and is one of the oldest battery manufacturers in China.
In 2020, the company attracted attention when German automotive giant Volkswagen (VW) made a strategic investment and acquired approximately 26% of its shares.
Currently, VW is the largest shareholder and an important battery partner of the VW Group. In terms of market share, the global EV battery market share in 2023 is approximately 2.2% (8th in the world)

Domestic market share in China is about 4-5%, placing it in fourth place
The company name “Guoxian” is the brand name in the Chinese market, while overseas it is called Gotion in English. Main Products and Applications: Guoxian’s main product is lithium lithium iron phosphate (LFP) batteries.
Based in Hefei, the company has grown by supplying large quantities of LFP batteries to the local Jianghuai Automobile Company (JAC).
With its strength in low cost and safety of LFP, the company produces batteries for a wide range of applications from passenger cars to commercial vehicles and energy storage.
In recent years, we have also focused on a new manganese-doped cathode material called lithium manganese iron phosphate (LMFP), and announced the next-generation LFP battery with improved energy density.
In addition, we are developing nickel-based (ternary) batteries and supplying them for specific models.
By application, our sales are dominated by batteries for passenger car EVs (especially medium-sized and compact cars), but we also have experience in batteries for buses and commercial vehicles, as well as batteries for stationary energy storage systems.
Main customers and partners: Volkswagen (VW) is the largest partner of Kokusen Gohka.
After investing in VW, VW is now using our products in its own EVs.
For example, VW and Audi EVs for the Chinese market are equipped with Guoxian batteries, and VW has also invited Guoxian as a technology partner for battery production at its Salzgitter plant in Germany.

Through this collaboration, VW plans to deploy Guoxuan’s LFP battery technology in Europe.

In China, VW supplies batteries to Jianghuai Automobile (JAC), a major original customer, some models of Ulli (NIO), Great Wall Motor’s EVs, and Nezhao Motor’s vehicles, etc.
In the energy storage field, we have participated in energy storage projects for the national power grid and local power companies, providing large storage batteries.
In recent years, the company’s plans to build a plant in Michigan, U.S.A., have attracted attention, and it is planning to supply the U.S. market (mainly for energy storage applications).
Recent Trends: The major topics of discussion at Koken are the strengthening of ties with VW and overseas expansion.
In 2022, VW will increase its stake in the company, making it a de facto VW affiliate.

In line with this, we are promoting joint production in Europe and developing a supply system in line with EV development in Southeast Asia and South America.
In the U.S., a plan to invest in a large-scale plant in Michigan has been approved by local authorities (although local concerns have also been reported).
On the technology side, we are preparing for mass production of the aforementioned LMFP battery, and have announced the successful development of LMFP cells with an energy density of 240 Wh/kg by 2023.
Furthermore, we are also participating in all solid-state battery research.
Through these developments, Guokken is improving its position in the global market as a “battery company under the umbrella of VW”.