LOPAL TECH (02465) surged more than 9% during morning trading. As of press time, the stock had risen 8.55% to HKD 10.41, with trading volume reaching HKD 110 million.

A survey conducted by Dongda Times Think Tank, covering 37 mainstream battery companies and their upstream and downstream supply chains, shows that China's lithium battery full market production is expected to reach approximately 304 GWh in August 2026, a 7.4% increase month-over-month. Global combined output of power, energy storage, and consumer battery categories is projected at about 317 GWh, a 7.1% month-over-month increase. The August production forecast exceeds the think tank's earlier estimate of 3% to 5% growth made in early July. Additionally, Hunan Yuneng, a leading lithium iron phosphate (LFP) company, plans to raise the processing fees for its entire LFP product line by CNY 2,000 per ton, effective from August 1, 2026.

Dongwu Securities believes the lithium battery sector is significantly oversold, yet the fundamentals remain strong. The firm is optimistic about a sector rebound. August production is expected to rise 5-10% month-over-month, exceeding market expectations. The brokerage forecasts demand growth of over 35% this year, with an estimated 25%+ growth in 2027. The primary growth drivers are expected to come from overseas power and energy storage markets. Energy storage battery shipments are projected to reach 1,100 GWh in 2026, a year-on-year increase of over 70%, and are expected to grow nearly 40% to 1,500 GWh in 2027. Overall, industry demand is on an upward trajectory.