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China Pauses New Battery Projects Pending Capacity Review

Published: Sep. 10, 2026  11:56 p.m.  GMT+8
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A production line for new-energy vehicle power batteries. Photo: VCG
A production line for new-energy vehicle power batteries. Photo: VCG

China has temporarily suspended construction of new power and energy-storage battery projects pending a year-end review of industry capacity, as authorities intensify efforts to rein in severe overcapacity.

The move is the government’s latest intervention in a sector where planned new capacity this year has already climbed to about 1.5 times China’s total battery output in 2025.

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