Xingyuan Materials (300568) announced on the evening of December 24 that its subsidiary Innova (Singapore) Co., Ltd. (hereinafter referred to as "Innova") and Zhuhai Guanyu (688772) reached a "strategic cooperation agreement" based on in-depth cooperation and common development in more aspects of the global market and the future.

According to the announcement, the two sides will use their respective advantages in the production, development, processing and sales of lithium battery separator materials to carry out comprehensive cooperation. From 2025 to 2031, the two sides will continue to carry out in-depth communication, exchanges and cooperation in product supply, technical exchanges, high-level visits, and overseas base construction, so as to promote mutual benefit and win-win results between the two sides.

The strategic cooperation agreement was signed and entered into force in writing on December 24, 2024. The cooperation period of the strategic cooperation agreement is from January 1, 2025 to December 30, 2031. One month before the expiration of the agreement, if either party decides not to continue the cooperation, it shall send a written notice to the other party to terminate the cooperative relationship. Before the expiration of the contract, if there is no change in the content of the contract or no notice of termination of the partnership, the agreement will be automatically extended for one year.

At the same time, this contract signed by both parties shall be applicable to the affiliates of the two parties (including but not limited to Chongqing Guanyu Power Battery Co., Ltd., UNIMX TECHNOLOGY MALAYSIA SDN. BHD., Zhuhai Guanyu Power Battery Co., Ltd., Zhejiang Guanyu Battery Co., Ltd., Chongqing Guanyu Battery Co., Ltd. and other companies).

Xingyuan material is specialized in lithium-ion battery separator research and development, production and sales of new energy, new materials and new energy vehicles in the field of enterprises, the company's separators mainly include wet separators, dry separators, coated separators and various functional films, products are widely used in new energy vehicles, energy storage power stations, electric bicycles, power tools, aerospace, 3C digital and medical environment and other fields.

For the industry prospects, the company previously said in the announcement that the largest demand market for separators still comes from power lithium-ion batteries, which are mainly used in electric vehicles, electric bicycles, large power tools, aerospace, electric ships, electric aircraft and other emerging applications, and the rapid growth of new energy vehicle sales in 2024 will drive the demand for power batteries to continue to increase.

With the strong promotion of the global "dual carbon", the demand for energy storage batteries has gradually increased, and the power battery has become the second largest source of demand for separators. In addition, driven by the 5G market, the market for smart phones, smart wearables, smart speakers, wireless headphones, and e-cigarettes has grown steadily, and the demand for consumer lithium batteries has continued to rise, which is another important application field for separators. In addition, with the breakthroughs in technology and industrialization such as sodium-ion batteries in recent years, as well as the increasing requirements of human beings for the quality of the living environment, the application field of separators will be further expanded.

As a strategic partner of Xingyuan Materials, Zhuhai Guanyu is mainly engaged in the research and development, production and sales of consumer polymer pouch lithium-ion batteries, and at the same time lays out power lithium-ion batteries, which are mainly used in laptops, tablets, smart phones, smart wearable devices, drones, car start-stop systems and electric motorcycles.

For the signing of this strategic cooperation agreement, Xingyuan Materials said that it will further highlight the company's dominant position in the field of lithium-ion battery separators, and bring positive effects to the further promotion of the company's separator products in the domestic and foreign markets; At the same time, it will further promote the two parties to give full play to their respective advantages and create greater commercial value for the cooperation between the two sides.