CATL Falls 5% As Battery Capacity Approvals Tighten

CATL fell 5% to HK$521.5, with about 2.48 million shares traded for HK$1.319 billion, after touching an intraday high of HK$547.5 and a low of HK$517, according to ETNet. Mainland media reported that several leading battery makers have confirmed local authorities have largely stopped accepting new filings for power battery and energy storage battery capacity projects since the second half of this year, effectively pausing new capacity applications. Industry estimates show planned energy storage cell expansion has exceeded 800GWh, with total planned capacity approaching 2TWh, far above actual global demand. ETNet also reported that CATL's acquisition of equity in Chongqing Yaoning New Energy has been approved. The deal is being viewed as a sign of capacity consolidation among leading players as scrutiny of new lithium battery capacity tightens. Public information shows Chongqing Yaoning New Energy was formerly Chihang New Energy, founded in 2021 under the leadership of Geely Technology Group. It is now a wholly owned subsidiary of Jiangsu Yaoning New Energy, whose controlling shareholder is Zhejiang Jiyao Tongxing Energy Technology with an 82.9% stake. Zhejiang Jiyao Tongxing Energy Technology is the industrial operating platform coordinating battery business within Geely Holding, which integrated its battery assets in early 2025.