Summary: In early Feb. 2022, Jiayuan Technology and CATL announced to set up a joint venture to build 100,000 t/a electrolytic copper foil project in Meizhou City, Guangdong Province.

Guangdong Jiayuan Technology Co., Ltd. (Jiayuan Technology) and Contemporary Amperex Technology Co., Ltd. (CATL) announced to set up a joint venture, Guangdong Jiayuan Contemporary New Energy Materials Co., Ltd. (JV) in Meizhou City, Guangdong Province on 8 Feb., 2022. The total USD78.64 million (RMB500 million) registered capital of the JV composed of USD62.91 million (RMB400 million) contributed from Jiayua Technology and USD15.73 million (RMB100 million) from CATL. In future the capital may increase to USD314.56 million (RMB2.00 billion) for the 100,000 t/a copper foil project in Meizhou, which is divided into two phases with each phase to reach a capacity of 50,000 t/a. 

On the same day, Jiayuan Technology invest USD15.73 million (RMB100 million) to create its wholly-owned subsidiary for the purpose of import & export activities management and global market development.

Last year Jiayuan Technology issued A-shares in Shanghai Stock Exchange to raise a total funding of no more than USD770.68 million (RMB4.90 billion). The capital was used to construct four copper foil production projects, with a capacity of 81,000 t/a in total. Currently Jiayuan Technology has a copper foil capacity of 26,000 t/a. It is forecasted that the capacity of the company will reach 60,000 t/a in 2022 and 100,000 t/a in 2023.

Jiayuan Technology has more than 30% market shares in the domestic battery copper foil market. In 2020, the lithium battery cooper foil CATL bought from Jiayuan Technology was worth of USD83.36 million (RMB530 million), which occupied 44% of the business revenue Jiayuan Technology earned in 2020. Jiayuan Technology is one of those few companies who provide 4.5μm copper foil and it started to deliver 4.5μm copper foil from 11 Feb., 2022.