China has implemented a temporary suspension on authorising new battery storage plant constructions, a measure reportedly driven by concerns regarding potential overcapacity within the sector.
This pause affects facilities that have not yet begun their construction phase. The decision comes as the nation, recognised as the world's leading manufacturer of energy storage batteries, undertakes a review of its current and projected manufacturing capabilities.
The global energy storage battery market sees China as a dominant force, alongside its position as the largest market for electric vehicles.
Reported by Chinese financial news outlet Cailianshe, this moratorium is attributed to industry sources, highlighting the government's apprehension over an expanding surplus of production capacity in this critical technology area.
