In order to promote the development of global green supply chain and actively capture the development opportunity of the national "Action Plan for Promoting Large-scale Equipment Renewal and Trade-in of Consumer Goods",on March 19, 2024, Wuhan Power Battery Recycling Technology Co., Ltd. (hereinafter referred to as "Battery Recycling"), a holding subsidiary of GEM, held a business meeting with Dongfeng Passenger Vehicle Sales Co., Ltd. (hereinafter referred to as "DFPV"), a wholly-owned subsidiary of Dongfeng Motor Group Co., LTD., and signed a Strategic Cooperation Agreement on the Construction of a Green Industrial Chain for the Whole Life Cycle of Power Batteries, to join hands in building a green supply chain and value chain with core competitiveness in the global market. Liu Yang, Deputy General Manager and General Manager of Marketing Support Department of Dongfeng Passenger Vehicle, and Dr. Zhang Yuping, Deputy General Manager of GEM and Chairman of Battery Recycling, were present to witness the event.

Recently, the State Council of People's Repulic of China issued a notice on the "Action Plan to Promote Large-Scale Equipment Renewal and Trade-in of Consumer Goods", which explicitly mentions "carrying out automobile trade-in". The promotion of automobile trade-in and scrapping renewal has a huge role to play in promoting the development of the automobile market, allowing the entire life cycle of the automobile chain to realize an effective and complete flow, or will create a trillion-dollar scale market space.

In particular, DFPV announced the launch of its brand as the first to start the automobile trade-in action on a national scale, covering more than 50 models under it, and the replacement subsidy is expected to be over 10 billion yuan. DFPV's independent passenger car brand is a well-known domestic high-end automobile brand, at present, DFPV's new energy vehicle customer retention of 230,000. In 2024, the domestic sales volume is expected to be 470,000, and about 650,000 new energy customers will be the opportunity and challenge that the two sides will face together.

GEM is a leading enterprise in the field of power battery material manufacturing and battery recycling. The only enterprise with 5 industry standard conditions for the comprehensive utilization of used power batteries in new energy vehicles from the Ministry of Industry and Information Technology (MIIT). Battery Recycling has strong recycling, information traceability management, and recycling capabilities.

At the business meeting, the two sides expressed their sincerity for win-win cooperation and confidence in welcoming the green and low-carbon future of new energy vehicles together, and decided to further deepen their cooperation and actively explore strategic cooperation in the areas of battery recycling and outlets co-build, battery three power maintenance, industrial and commercial energy storage, and electrification of engineering and industrial machinery, as well as the battery material supply system. In this way, the two sides will jointly respond to the challenges of the new energy sources in the world in terms of cost, resources and capital, and jointly build a globally competitive supply chain and value chain. Afterwards, Song Dezhi, General Manager of Service Support Department of DFPV, and Dr. Huang Liangqu, Executive Vice General Manager of Battery Recycling, signed the Strategic Cooperation Agreement on "Building a Green Industrial Chain of Power Battery in the Full Life Cycle" on behalf of both parties.

As representatives of new energy vehicle front-end production, design and manufacturing enterprises and back-end recycling and comprehensive utilization enterprises, Battery Recycling and DFPV will unite their respective strengths, and intend to carry out technological research and development cooperation in the green design, green manufacturing, green dismantling, recycling of new energy vehicles and power batteries, form a new energy full life cycle green industry chain of complete green recycling of power batteries and their wastes, nickel-cobalt-lithium resource recycling, battery material recycling, power battery cascade utilization and battery remanufacturing, fundamentally promote the solution to the pollution problem of power batteries to society, and further guide automobile manufacturing plants, battery recycling plants, material manufacturing plants, and battery manufacturing plants to jointly realize a directional cycle from the green scrap end to the green product end, and jointly create a globally competitive green supply chain and value chain promote the sustainable development of the new energy automobile industry.

GEM and DFPV Signed the Strategic Cooperation Agreement

GEM and DFPV Signed the Strategic Cooperation Agreement