Lithium battery stocks surge as CATL and Canadian Solar both sign major deals, ushering in a resonant moment for energy storage demand at home and abroad!

Today, the A-share lithium battery sector surged strongly, with CATL soaring more than 7%, driving a collective rise throughout the lithium battery industry chain. At market close, lithium battery leader CATL rose 7.56%, with an intraday spike of up to 8.4%. The latest share price is 415.6 yuan per share, with a total market value of 1.9 trillion yuan and a single-day turnover of 22.9 billion yuan, ranking first among A-shares. CATL’s H shares rose more than 3%. The entire lithium battery industry chain erupted, with Huasheng Lithium hitting the 20CM daily limit and reaching a new high. More than 20 stocks, including Kangpeng Technology, Taihe Technology, Yongxing Materials, Tianci Materials, and Do-Fluoride, hit their daily limit. The lithium battery sector’s surge benefited from two major energy storage giants’ blockbuster cooperation news: Hubble Technologies and CATL signed a ten-year strategic partnership agreement, with no less than 200GWh of cell purchases over the next three years. Meanwhile, Canadian Solar won a massive 1.86GWh energy storage order in Canada. Morgan Stanley analyst Jack Lu and others said in a research report that this order confirms robust global demand for energy storage systems and the current shortage of premium products, further underscoring CATL’s leading position in the value chain. Analysts believe that under tight supply and demand, CATL is very likely to receive price or margin premiums. According to a previous article from WallstreetCN, UBS pointed out in its latest research report that battery energy storage system demand will become the “second growth engine” for the lithium market, expected to account for 22%-26% of total battery demand by 2030, equivalent to half of EV demand. Tightening supply and demand will boost lithium prices off the bottom, signaling the end of the bear market. Guotai Haitong’s research noted that the substantial procurement agreement between Hubble Technologies and CATL demonstrates confidence in future high growth for energy storage. Alongside Canadian Solar’s major overseas order, it marks a resonant moment for domestic and international energy storage demand. CATL and Canadian Solar both signed major orders On November 12, Hubble Technologies issued an announcement that it signed a “Strategic Cooperation Agreement” with CATL. The partnership will last ten years, from January 1, 2026 to December 31, 2035. According to the agreement, during the period from January 1, 2026 to December 31, 2028, Hubble Technologies will purchase no less than 200GWh of batteries. According to calculations by Morgan Stanley, the annual order equates to 50% of CATL’s 2025 energy storage system sales. Analysts noted that peers such as Tesla and Sungrow may soon seek similar arrangements to secure supply, further driving CATL’s demand for battery materials. Founded in 2011, Hubble Technologies successfully went public in January 2025 and is a leading domestic energy storage systems integrator. In 2024, the company achieved 8.2 billion yuan in revenue and shipped 11.8GWh in energy storage. The prospectus shows that from 2021 to 2023, CATL and its subsidiaries have consistently been Hubble Technologies’ largest supplier. On the same day, Canadian Solar announced that its energy storage subsidiary has signed a contract to provide a full set of energy storage solutions and turnkey EPC services for the “Skyview 2” energy storage project in Ontario, Canada. The project has a capacity of 411MW/1858MWh, making it one of the largest energy storage projects in Ontario to date. According to Guotai Haitong’s research, Canadian Solar Energy Storage has deployed over 8GWh of energy storage systems across North America to date. The completion of the “Skyview 2” project further consolidates the company's leading position in the North American energy storage market. Domestic and international energy storage demand is experiencing a resonant moment! Canadian Solar’s win of the large overseas order matches the accelerated pace of domestic energy storage companies going abroad. In an investor survey, Hubble Technologies said: The growth momentum for 2025 will mainly come from three areas: long-term domestic energy storage growth, rapid expansion in overseas markets—especially North America and Europe—and the development of new application scenarios. Frequent favorable domestic energy storage policies are providing a boost for industry development. On November 10, the state for the first time explicitly included new types of energy storage in the capacity electricity price mechanism’s scope in official documents. Guotai Haitong believes that if the capacity electricity price policy is promoted nationwide, more provinces will achieve economic incentives for energy storage, facilitating rapid energy storage growth. Inner Mongolia’s independent energy storage policy is even more aggressive, setting discharge compensation at 0.28 yuan per kWh for 2026. The economics of energy storage are thus feasible, and it is expected to strongly spur local energy storage demand. Cinda Securities points out that energy storage is driving a new round of the lithium battery cycle. Benefiting from overseas energy transition and domestic energy storage policy support, the period from 2025 to 2027 is expected to be a global energy transition-driven energy storage cycle. Energy storage demand growth is expected to reach 50% in 2026. Risk warning and disclaimer The market carries risks, and investment should be cautious. This article does not constitute personal investment advice, nor does it take into account individual users’ specific investment objectives, financial situation, or needs. Users should consider whether any views, opinions, or conclusions in this article are suitable for their own situation. Any investment made based on this article is at one’s own risk.