Analysis Report on Putailai's 2024 Negative Electrode Material Market Share

Based on the authoritative research data and industry reports I have consulted, the situation regarding the negative electrode material market share of Putailai (SH603659) is as follows:

According to data from the “White Paper on the Development of China’s Negative Electrode Material Industry (2025)” released by authoritative institutions such as EVTank and EVE Economic Research Institute [0], the global shipment volume of negative electrode materials reached 2.206 million metric tons in 2024, a year-on-year increase of 21.3%, with China’s negative electrode material shipment volume accounting for a further increased share of 95.9% [1]. The 2024 Chinese negative electrode material market presents the following competitive landscape:

Rank	Enterprise	Market Share	Shipment Volume
1	BTR	>20%	Approximately 438,000 metric tons
2	Shanghai Shanshan	~15%	Approximately 340,000 metric tons
3	Zhongke Star City	~10%	Over 200,000 metric tons
4	Shangtai Technology	~10%	Over 200,000 metric tons
5	Kaijin New Energy	~8%	-
6	Jiangxi Zichen (Subsidiary of Putailai)	-	-

According to the 2025 Corporate Credit Rating Report of China Securities Pengyuan, Putailai “is one of the leaders in terms of market share” [1], but in 2024, “the company’s shipment ranking slipped” [1].

• Shipment Volume:
  Putailai’s negative electrode material shipment volume in 2024 was
  132,300 metric tons
  , a year-on-year decline of 14.81% [1]
• Production Capacity Scale:
  As of the end of 2024, the company has formed an annual production capacity of 200,000 metric tons of negative electrode materials [2]
• Market Share:
  Declined compared to previous years, stably ranking within the
  top 5 to top 6 in China

According to the latest data from Qianzhan Industry Research Institute in January 2026 [3], in the first half of 2025, Shanshan Co., Ltd. had the highest shipment share of 21% in the artificial graphite negative electrode segment, followed closely by BTR. Putailai still maintains an important position in the mid-to-high-end artificial graphite market.

The main reasons for Putailai’s market share decline in 2024 are as follows [1][2]:

1. Industry Overcapacity:
   The negative electrode material industry is in oversupply, with prices continuing to decline
2. Proactive Strategy Adjustment:
   The company reasonably controls shipments of low-priced products to ensure healthy cash flow
3. Changes in Customer Structure:
   Changes in customers’ product structure and raw material properties pose new challenges to the company’s production processes
4. High-Price Inventory Digestion:
   The continuous digestion of previous high-price inventories has affected short-term performance

Despite short-term pressure, Putailai still has the following competitive advantages:

1. Leader in Coated Separator Segment:
   The processed volume of coated separators reached 7.003 billion ㎡ in 2024, accounting for
   40.02%
   of domestic wet-process separator shipments, maintaining a leading market share [1]

2. Technological Innovation Capability:
   • CVD-deposited silicon-carbon negative electrodes have obtained small-scale mass production orders
   • Innovative product series such as high-capacity and long-cycle products have been recognized by customers
   • The first phase of Sichuan Zichen’s 100,000 metric ton advanced production capacity has been partially put into operation

3. Customer Resources:
   Customers include global leading battery enterprises such as CATL, LG Chem, and Samsung SDI [4]

4. Production Capacity Layout:
   The second phase of Sichuan Zichen’s 100,000 metric ton production capacity is under construction, and is expected to be put into operation in 2025-2026

As one of the leading enterprises in China’s negative electrode material industry, Putailai’s market share in 2024 was approximately in the range of

, ranking . Although facing short-term pressure due to industry cycles, the company is expected to regain growth momentum when the industry recovers, relying on its technological advantages, customer resources, and integrated layout.

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[0] EVTank, EVE Economic Research Institute, “White Paper on the Development of China’s Negative Electrode Material Industry (2025)”
[1] China Securities Pengyuan, “2025 Corporate Credit Rating Report of Shanghai Putailai New Energy Technology Co., Ltd.”
[2] Putailai, “2024 Annual Report”
[3] Qianzhan Industry Research Institute, “Report on Development Prospect Forecast and Investment Strategic Planning of China’s Lithium Battery Graphite Negative Electrode Material Industry”
[4] Zhihu Column, “Putailai Investment Analysis Report: Integrated Breakthrough of a Lithium Battery Material Leader”