Gasgoo Munich- On September 3, the "2026 World Power Battery Conference" opened in Yibin, Sichuan. In a keynote titled "Achievements and Trends in China's Lithium Power Battery Development," Ouyang Minggao, an academician at the Chinese Academy of Sciences, outlined two critical technological paths. "One route focuses on high energy density and safety through liquid, solid-liquid hybrid, and all-solid-state batteries," Ouyang said. "The other prioritizes low cost and long life via lithium iron phosphate and sodium-ion batteries. Both paths are vital for China's power battery industry."
In 2025, domestic power battery installed capacity reached 769 GWh, a 40% year-on-year increase. Chinese firms claimed six of the top ten spots globally, accounting for 70% of cumulative installed capacity. China's lithium-ion battery shipments hit approximately 1,875 GWh last year — up 53% and capturing over 80% of the global share. "This represents a massive industrial achievement," Ouyang noted.
Image Source: 2026 World Power Battery Conference
Looking ahead, Ouyang highlighted three key trends:
The first is comprehensive battery safety throughout the entire process.
"Battery safety is an eternal theme for development, and for R&D," he said. Notably, China implemented its strictest battery regulations in history on July 1. The new standards impose rigorous thermal diffusion tests: if a single cell enters thermal runaway, the battery pack or system must not catch fire or explode, and smoke must not harm occupants. For fast-charging batteries, a short-circuit test after 300 fast-charge cycles is also required — again, with zero tolerance for fire or explosion.
The second trend is AI empowerment across the entire value chain.
Ouyang argued that the AI revolution will reshape battery R&D paradigms, production methods, and usage patterns. AI-driven intelligent design, manufacturing, and management will effectively re-engineer the industry across its entire technology, supply, and value chains.
"From a design perspective, the next five years represent a critical window for shifting battery development to AI-based platforms," Ouyang emphasized. He noted that all-solid-state batteries present immense technical challenges, making breakthroughs and industrialization heavily dependent on AI-powered R&D.
Furthermore, viewing the full lifecycle, manufacturing defects require intelligent management via data-embedded chips. Ouyang pointed to the EU's New Battery Law, which mandates electronic IDs. To access international markets, China's Ministry of Industry and Information Technology (MIIT) now requires a "digital ID" for every battery — initiatives that demand robust data and intelligence support.
"Lifecycle quality management based on large models is inevitable," he said. "Especially the fusion of battery cells and chips — these two 'cores' are the era's most critical foundation. Connecting them via implantable sensors in smart batteries will push AI empowerment to a new level."
The third trend focuses on green, low-carbon practices across the battery lifecycle.
The coming wave of battery retirements presents a major challenge — and a significant opportunity. China's retired battery volume is projected to exceed 2 million tons by 2030, sparking a massive recycling market. The MIIT has set a target for comprehensive utilization of retired power batteries to exceed 1 million tons by 2030.
Addressing sustainability, Ouyang noted that as the lithium-ion industry expands, the sustainability of lithium resources is under scrutiny. "In the near to mid-term, the industrialization of sodium-ion batteries will curb market volatility in lithium," he said. "Long-term, recycled resources will gradually rise, reducing reliance on raw mining. We expect recycled supply to dominate after 2050."
Looking ahead, Ouyang projected that global power battery capacity will surpass 5,000 GWh over the next five years, with China potentially exceeding 3,600 GWh — effectively doubling last year's figures.
