The Inner Mongolia project would add in-house graphitisation to close a process gap at the company’s existing Baotou operations.
Ningbo Shanshan Co., Ltd., a major Chinese producer of synthetic graphite anode materials, has announced plans to build a new integrated lithium-ion battery anode base in Baotou, Inner Mongolia, with a total planned investment of ~US$761 million.
The project will be developed by the company’s subsidiary, Inner Mongolia Shanshan Technology Co., Ltd., and is designed to add 150,000 tonnes per annum of integrated anode capacity, along with 50,000 tonnes of supporting graphitisation capacity.
USD figure converted from the company’s disclosed total investment of RMB 5.106 billion at 1 CNY = 0.1491 USD.
Graphitisation is the most energy-intensive and cost-sensitive step in synthetic graphite anode production, and producers relying on outsourced graphitisation are exposed to third-party processing fees and capacity constraints. By adding in-house graphitisation alongside new anode capacity, Shanshan is targeting both supply security for its customers and lower processing costs, at a time when it says leading anode producers’ own capacity is generally tight.
The Announcement
According to the filing, the new base will be located in the Qingshan District Equipment Industrial Park in Baotou. It will include production workshops covering each stage of the anode process, along with warehousing, utilities, environmental protection works and staff facilities.
The company said production capacity is designed around full-process artificial graphite anode production, with a flexible interface reserved for sodium-ion hard carbon anode materials. Following technical modification, output could be adjusted depending on demand from the sodium-ion market.
Shanshan said the new graphitisation capacity is intended to close a process gap between its existing finished-product lines at Qingshan and the graphitisation capacity at its Jiuyuan plant. The company expects this to significantly reduce outsourced processing costs and complete its integrated production footprint in northern China.
The company attributed the investment to rapid growth in anode demand from electric vehicles and energy storage. It said its capacity shortfall is expected to keep widening, and that new integrated capacity is needed to secure delivery of customer orders.
Output is aimed at power batteries, new energy storage, consumer electronics and overseas high-end products. Shanshan said it expects to secure core sales volumes through long-term supply framework agreements with major domestic and international battery makers.
The project will be funded from the company’s own and self-raised funds. It has a 17-month construction period, with construction scheduled to begin in March 2027 and completion targeted for July 2028.
The Investment Agreement
Inner Mongolia Shanshan Technology has signed an investment cooperation agreement with the Qingshan District People’s Government of Baotou for a high-performance lithium battery anode production base.
Under the agreement, the district government will coordinate with the Baotou municipal government to have the project managed as a city-level key project and included in Inner Mongolia’s regional key project list. It will also provide support on land and supporting infrastructure, electricity supply and pre-approval procedures, and help the company apply for tax incentives, industry awards and technology-related subsidies.
The agreement takes effect only once Shanshan’s internal decision-making process, including board and shareholder approval and public announcement, has been completed.
What Comes Next
The investment was approved at the third meeting of Shanshan’s twelfth board of directors. The company said the project remains at the preparatory stage, with a feasibility study completed. Before construction can proceed, it requires:
- Shareholder approval at a general meeting.
- Environmental impact and energy assessment approvals or filings, which the company will pursue once internal approvals are complete.
- Construction start, currently scheduled for March 2027, followed by completion in July 2028.
Statements regarding future construction, production, approvals and demand are forward-looking, and actual results may differ materially from current plans.
Primary source: Ningbo Shanshan Co., Ltd., “Announcement on Foreign Investment” (Announcement No. 2026-057), Inner Mongolia Shanshan Technology 150,000 tpa integrated lithium-ion battery anode materials base project, Shanghai Stock Exchange, 23 September 2026, view announcement.
Supporting references:
• Ningbo Shanshan Co., Ltd., Announcement of Resolutions of the Third Meeting of the Twelfth Board of Directors, 23 September 2026
• Shanshan corporate website, https://www.shanshan.com/
• Currency conversion, Xe.com, https://www.xe.com/currencyconverter/
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