China Energy Storage Technology Development & Zhejiang Furui Juneng Announce RMB 2 Billion Investment to Build 2GW/Year Vanadium Flow Battery Full-Industry-Chain Manufacturing Base
Date: 13 Jan 2026 |
Source: ASIACHEM WeChat, 13 January 2026
Project to cover electrolyte materials through full systems, targeting 15–20% unit-cost reduction and strengthening supply-chain autonomy
China Energy Storage Technology Development Limited (the “Company”) and Zhejiang Furui Juneng Technology Co., Ltd. announced a plan to invest RMB 2 billion to develop a 2GW-per-year vanadium flow battery (VFB) energy storage system full-industry-chain base, following a project briefing held in Hong Kong on 12 January.
The planned base is designed to provide end-to-end manufacturing coverage across key VFB value-chain segments, including electrolyte materials, bipolar plates, membrane electrode assemblies, stacks, and full energy storage systems. The initiative aims to enhance independent controllability of core components and reduce unit costs by an estimated 15%–20% through integrated production and scale-up.
Upon reaching full production, the project is expected to deliver approximately RMB 6 billion in annual revenue and around RMB 600 million in net profit, according to the project information shared at the briefing.
As long-duration energy storage accelerates in China, VFB technology is seeing broader commercial deployment alongside expanding applications such as hybrid storage configurations and grid-forming (GFM) solutions, with multiple GWh-scale projects progressing nationwide.
The project briefing also noted the commissioning of flagship projects—including China’s largest Jimsar (Jimusa’er) energy storage power station in Xinjiang and a world-leading grid-forming hybrid energy storage project—as signals of VFB’s growing role in long-duration storage under China’s “dual-carbon” strategy.
China Energy Storage Technology Development indicated an intention over the next five years to invest in the development of 100 full-industry-chain VFB energy storage system bases across China.