China's Q1 Lithium Battery Demand Hits 354.82 GWh, Exports Grab 65% Share

Takeaways by AI

China's lithium battery demand hit 354.82 GWh in Q1 2026, up 43% year-on-year.
Exports now exceed 65% of demand, with standalone battery exports surging 76% to 192.92 GWh.
Domestic NEV passenger battery demand fell 6% YoY to 92.01 GWh, signaling market saturation.

China’s CPCA Secretary-General Cui Dongshu published a Q1 2026 lithium battery demand analysis report.

The data shows total lithium battery demand reached 354.82 million kWh in Q1 2026, up 43% year-on-year. Exports accounted for over 65% of total demand for the first time, becoming the dominant growth driver.

Detailed data table showing battery demand and sales figures across various categories including passenger vehicles, commercial vehicles, and electric vehicle output for March 2024 compared to previous months. — Lithium battery overall demand

Specifically, customs data shows standalone battery exports hit 192.92 million kWh, surging 76% YoY and representing 54% of total demand.

New energy vehicle exports carried a combined 40.15 million kWh of batteries (34.84 million kWh for passenger vehicles, 5.31 million kWh for commercial vehicles), jumping 105% YoY. The two export categories combined exceeded 65% of total demand, directly powering the industry’s overall growth.

A line graph depicting the demand for battery loading of new energy vehicles from 2022 to 2026 in units of ten thousand. It shows monthly data with trends for each year, highlighting an increase in demand over time. — Battery demand for new energy passenger vehicle exports

The broader trend shows explosive growth in NEV passenger vehicle export battery demand from 2022 through 2026.

Looking back, 2022-2024 saw low-base fluctuations. 2025 marked the entry into scaled growth, with full-year export battery demand surpassing 96.12 million kWh, up 60% YoY. Monthly demand stabilized in the 5-10 million kWh range, with year-end peaks breaking 10 million kWh.

A table displaying monthly and yearly statistics for electric vehicle exports, including percentages of growth and comparison year-over-year for the years 2023 to 2026. — 2023-2026 new energy passenger vehicle export volume trend

Q1 2026 data exceeded expectations, with all three months topping 10 million kWh. March alone reached 12.95 million kWh, up over 125% YoY.

The domestic market, however, showed clear divergence.

NEV passenger vehicle retail battery demand stood at 92.01 million kWh, down 6% YoY and representing just 26% of total demand. Commercial vehicle replacement (insurance) demand reached 29.73 million kWh, up 39% YoY, providing stable support for the domestic market.

Line graph depicting the sales of new energy vehicle batteries from January to December for the years 2022 to 2026. Each year is represented by a distinct color: yellow for 2022, green for 2023, black for 2024, blue for 2025, and red for 2026. The graph shows an overall upward trend in battery sales over the years. — Lithium battery kilowatt-hour capacity trend for new energy passenger vehicle retail sales

Over the longer term, battery installation volumes rose steadily from 2022 through 2025. But Q1 2026 marked the first YoY contraction, with cumulative retail demand of 92.01 million kWh down 6%. March saw both YoY and MoM growth turn negative, signaling the domestic market’s shift from rapid adoption to stock competition.

NEV commercial vehicle export battery demand grew steadily, with 2025 peaks exceeding 2 million kWh. Q1 2026 maintained momentum at 1.86 million, 1.82 million, and 1.64 million kWh respectively — well above prior-year levels and serving as a supplementary support for battery exports.

A table displaying electric vehicle sales data, including total sales numbers, year-over-year growth rates, and quarterly breakdowns for the years 2023 to 2026. — 2023-2026 lithium battery trend for new energy passenger vehicle retail sales

Overall, battery export demand stands in stark contrast to the domestic market, showing explosive growth.

Industry scale leaped from under 20 million kWh monthly in 2022 to peaks exceeding 60 million kWh in 2025. Q1 2026 sustained the momentum at 57.59 million, 53.65 million, and 81.68 million kWh, with March’s YoY growth nearing 100%.

Table showing maritime export data from 2023 to 2026, including monthly and yearly totals, growth rates, and comparisons to previous periods. — Customs exports

The report attributes this to two main factors. First, expanding overseas NEV markets and surging energy storage demand continue to drive orders for power and storage batteries. Second, some companies front-loaded exports ahead of policy adjustments, pushing March data sharply higher.