Gotion High-tech, a major player in the power battery industry, has announced plans to establish an institute in Hong Kong focused on researching and developing low-carbon technologies. This initiative comes as part of a partnership with Hong Kong-listed Envision Greenwise Holdings (HKG: 1783), aimed at advancing battery energy storage systems (BESS) and promoting global low-carbon technology research, development, application, and trading.
The collaboration between Gotion and Envision will focus on joint research into new technologies and business models for BESS. It will also facilitate the development and implementation of low-carbon technologies on a global scale. Gotion views this partnership as a strategic move to accelerate its global expansion in low-carbon technology research and development, as well as its energy storage business.
Prior to this collaboration, Gotion and Envision had already planned to cooperate on a global scale, focusing on the development of energy storage EPC (Engineering, Procurement, Construction) projects, as well as battery recycling initiatives. Envision, known for providing comprehensive green power solutions worldwide, boasts a wide range of cooperation channels and sales networks.
Gotion’s prominence in the battery industry is evident, ranking fourth in China with a 4.83 percent market share in January, according to the China Automotive Battery Innovation Alliance (CABIA). Globally, Gotion holds the eighth position with a 2.4 percent share in 2023, according to South Korean market researcher SNE Research.
In its earnings preview on January 29, Gotion projected a significant increase in net profit for 2023, ranging from RMB 800 million to RMB 1.1 billion ($111 million to $153 million), representing a substantial growth from RMB 311 million in 2022. The company attributes this growth to the rapid development of the new energy industry and strong market demand for power and energy storage batteries, indicating a promising future for Gotion in the low-carbon technology sector.
