Demand in multiple sectors is driving a recovery in the lithium battery industry, with companies listed on the Science and Technology Innovation Board (STAR Market) reporting significant profit growth for the first half of the year. The industry's upturn continued through the first half of 2026, fueled by sustained high demand for domestic new energy vehicles and energy storage batteries. This has led to an improved supply-demand dynamic for battery materials, with both prices and operating rates rebounding in tandem.

Data from the China Automotive Battery Innovation Alliance shows that in the first half of the year, cumulative production of power and energy storage batteries in China reached 1068.9 GWh, a year-on-year increase of 53.3%. Domestic power battery installations totaled 335.6 GWh, up 12.0% year-on-year. Notably, installations in June alone hit 76.5 GWh, surging 31.5% from the previous year, with the growth rate accelerating month by month. The combination of energy storage demand and export orders has further expanded the volume growth potential for the materials segment. Companies in related sectors on the STAR Market have leveraged technological R&D, diversified business layouts, and the benefits of the energy storage sector to achieve leapfrog growth in their performance, fully demonstrating the effectiveness of the hard-tech platform in fostering industrial chains and highlighting the ample long-term growth space for the industry.

Rongbai Technology Co Ltd, a leading high-nickel cathode producer, has successfully returned to profitability. The profitability of the company's ternary cathode business has steadily improved, with shipments to overseas customers achieving significant growth. Its lithium iron phosphate cathode project is progressing as planned, its lithium iron manganese phosphate business is operating at full capacity with all output sold, and its sodium-ion battery cathode business has entered the phase of scaled shipments. The effectiveness of its platform strategy is gradually becoming apparent. The company forecasts a net profit of 100 to 120 million yuan for the first half of the year, compared to a loss in the same period last year, representing a profit increase of 168 to 188 million yuan. This marks the third consecutive quarter of profitability.

Xiamen Tungsten New Energy Co Ltd, a manufacturer offering a full range of lithium battery cathodes, has achieved steady profit growth. The company places equal emphasis on technological innovation and market expansion, with its three major product lines—ternary materials, lithium cobalt oxide, and lithium iron phosphate—maintaining high production and sales activity. Profit per ton has continued to recover. Overseas projects in France and Malaysia have commenced construction successively, accelerating the company's internationalization strategy and injecting new momentum for future growth. According to the company's preliminary earnings report, it achieved operating revenue of 14.488 billion yuan in the first half of 2026, a year-on-year increase of 91.09%. Net profit attributable to shareholders reached 491 million yuan, up 46.62% year-on-year, while adjusted net profit attributable to shareholders was 488 million yuan, representing a 67.83% increase.

Jiayuan Technology Co Ltd, a leader in lithium battery copper foil, has shown the most significant earnings rebound. Benefiting from the stockpiling boom for power and energy storage batteries, copper foil processing fees have stabilized and recovered. Full-capacity operation has helped spread costs, leading to a near-doubling of profit in the second quarter compared to the first. The company forecasts first-half revenue of 7.2 to 7.8 billion yuan, a year-on-year increase of 81.68% to 96.82%. Net profit is projected to be between 360 and 390 million yuan, representing a substantial surge of 879.48% to 961.11% year-on-year. The year-on-year increase in adjusted net profit exceeds 15-fold.