Output capacity surges 84%! Energy storage track remains hot, 12 concept stocks in fund spotlight

Latest data shows that energy storage battery production increased by 84% in the first two months.

On March 17, the energy storage sector was active, with several stocks rising against the market trend, including NaBaiChuan, ShunNa Shares, Chint Power, GCL System Integration, hitting daily limits, while Yicheng New Energy, Li New Energy, Helen Tech, and Sanhui Electric rose over 4%.

Significant growth in energy storage battery production

On March 16, the National Bureau of Statistics released data on the national economic operation for January to February 2026, showing that lithium-ion battery production increased by 42.6%, lithium carbonate by 29.3%, with energy storage lithium-ion batteries up by 84%.

A spokesperson for the National Bureau of Statistics stated that China’s green energy transition has been steadily advancing, with remarkable results. The development of wind, photovoltaic, and other new energy sources has driven the growth in energy storage demand, leading to rapid product expansion.

Since 2026, the energy storage market has performed exceptionally well. According to data from the China Chemical and Physical Power Industry Association Energy Storage Application Branch, in the first two months, domestic new energy storage installations reached 9.51 GW/24.18 GWh, with power and capacity increasing significantly by 182.07% and 472.06%, respectively.

The bidding market is also active. In February 2026, new energy storage bids (including pre-bids) reached 15.5 GW/53.9 GWh, with power and capacity up by 94.1% and 73.3%, respectively.

Recent explosive growth in energy storage demand is mainly driven by two factors: the surge in AI computing power creating new application scenarios, and a phased overseas market rush for installations.

On one hand, AI infrastructure has become a key new growth point for energy storage. AI data centers consume enormous amounts of electricity, and energy storage helps “peak shaving and valley filling,” effectively smoothing electricity loads, reducing costs, and providing emergency support for critical loads. The large-scale development of data centers is expected to open new growth opportunities for the energy storage market.

On the other hand, the export rush has provided strong short-term support. Earlier this year, the Ministry of Finance and the State Taxation Administration issued a notice on adjusting export tax rebate policies for photovoltaic and other products, prompting lithium battery companies to accelerate production and deliver overseas orders ahead of schedule. According to the Battery Alliance, in the first two months of this year, China exported a total of 48 GWh of power and energy storage batteries, a 24.6% year-on-year increase, with energy storage batteries accounting for 13.5 GWh, or 28% of total exports.

New energy storage included as a new pillar industry

This year, policies continue to favor new energy storage. The government work report emphasizes “building a new power system, accelerating smart grid construction, developing new energy storage, and expanding green electricity applications.”

At the April 6th session of the 14th National People’s Congress, Zheng Zhanjie, director of the National Development and Reform Commission, explicitly listed new energy storage as one of the “Six Emerging Pillar Industries.” The industry’s strategic importance in China’s energy transition is increasingly recognized.

Policy mechanisms for the energy storage industry are also improving. In January, the National Development and Reform Commission and the National Energy Administration issued a notice on improving the capacity electricity price mechanism, proposing the establishment of an independent capacity electricity price mechanism for new energy storage on the grid side. It clarifies that independent new energy storage stations on the grid can be compensated with capacity prices based on local coal power capacity prices, filling a gap in the market’s revenue mechanism.

The “Special Action Plan for Large-Scale Construction of New Energy Storage (2025–2027)” sets a clear goal of exceeding 180 GW of installed capacity nationwide by 2027, with direct investment of about 250 billion yuan, providing a clear growth outlook.

Supported by policies, new energy storage has achieved leapfrog growth. According to data from the Zhongguancun Energy Storage Industry Technology Alliance, China’s newly added new energy storage capacity in 2025 surpassed 100 GW for the first time, reaching 144.7 GW, an 85% year-on-year increase, and 45 times the capacity at the end of the 13th Five-Year Plan.

12 stocks have been surveyed by fund companies

According to Securities Times and Data Treasure, there are 57 listed stocks in the energy storage industry chain in A-shares, with an average increase of 11.76% since the beginning of the year. Baichuan Shares, Chint Power, and Shenling Environment saw the largest gains, at 99.44%, 73.48%, and 51.15%, respectively.

As the industry develops rapidly, concept stocks related to energy storage continue to attract institutional attention. Data shows that this year, 12 stocks have been surveyed by fund companies, with Tianci Materials, Zhongwei New Materials, and Haopeng Technology leading, with 35, 16, and 9 fund companies respectively.

During investor surveys, Tianci Materials stated that the new capacity of lithium hexafluorophosphate is mainly planned based on market demand and market share goals. The originally planned 35,000 tons of new capacity is progressing as scheduled, expected to be operational in the second half of 2026.

Zhongwei New Materials said that it has built a 200,000-ton capacity for iron phosphate; for lithium iron phosphate cathode materials, it has a capacity of 50,000 tons, and has gradually built an integrated layout from upstream resources to downstream materials to ensure supply chain stability and improve cost advantages.

Forty stocks related to energy storage have released 2025 performance forecasts, with 24 showing year-on-year growth (including turning losses into profits). Stocks like Lead Intelligent, Tianci Materials, Ruitai New Materials, Haopeng Technology, Guoxuan High-Tech, and Painen Technology have growth rates exceeding 100%.

Many companies mentioned the high prosperity of the energy storage industry in their earnings forecasts. Kelun Electronics stated that the rapid development of the energy storage industry has significantly increased project deliveries, boosting revenue.

Shanshan Shares noted that their anode material business benefits from strong downstream demand from new energy vehicles and energy storage markets, and with continuous capacity release, sales have increased significantly year-on-year.