According to data released by China Customs, from January to September 2025, China’s total export value of lithium batteries reached USD 55.38 billion, representing a year-on-year increase of 26.75%. During the same period, the total export volume amounted to 3.4 billion units, up by 19% compared with the previous year. This steady growth reflects the continued global demand for lithium batteries driven by the expansion of electric vehicle production, renewable energy storage systems, and portable electronic devices.
Top Export Markets for Chinese Lithium Batteries, Jan–Sep 2025
Germany has emerged as China’s largest export market for lithium-ion batteries since May 2025, surpassing the United States. From January to September 2025, China’s lithium-ion battery exports to Germany reached USD 10.265 billion, marking a robust year-on-year growth of 29.87%. Germany accounted for 18.5% of China’s total lithium-ion battery export value during this period. The surge reflects Europe’s strong demand for electric vehicles (EVs) and energy storage systems, driven by green transition policies and the rapid expansion of local battery manufacturing capacity.
The United States ranked as the second-largest destination, with total exports amounting to USD 8.91 billion from January to September 2025. This represented a year-on-year decline of 11.83%, reducing its share to 16.1% of China’s overall lithium-ion battery exports. The decrease is largely attributed to the evolving trade dynamics and policy frictions between China and the United States, which have affected the stability of bilateral battery supply chains.
Vietnam remained China’s third-largest export market, with exports totaling USD 3.186 billion in the first nine months of 2025, a 14.59% increase year on year. Vietnam accounted for 5.7% of China’s lithium-ion battery export value. The steady growth in this market is supported by the rapid development of Vietnam’s electronics and manufacturing industries, as well as its growing role as a regional assembly and re-export hub for global battery-related supply chains.
In September, South America’s largest energy storage project, BESS Arena, was launched, and the first batch of lithium batteries procured from China has arrived, significantly boosting Chile’s import volume. As winter approaches, rising natural gas prices and electricity costs in Europe have driven demand for industrial & commercial energy storage as well as home energy storage systems, leading to a surge in lithium battery imports across the region. Key markets include France, Spain, the Netherlands, and Germany, with applications spanning energy storage batteries for off-grid solar power systems and residential energy solutions.
Spain Officially Includes Energy Storage in Priority Dispatch and Renewable Subsidy Framework
On October 16, 2025, the Spanish government published Royal Decree 917/2025 in the Official State Gazette, systematically revising Royal Decree 413/2014 to promote market access for energy storage and flexible power technologies. The new decree adjusts the priority dispatch rules outside the market, removes the concept of “non-dispatchable generation,” and explicitly includes energy storage facilities in the priority generation category. Under the latest provisions, renewable energy projects—including storage with power capacity lower than the renewable installation—receive the highest grid connection priority, followed by high-efficiency combined heat and power projects (including storage), with other technologies ranked thereafter. The system operator (REE) can prioritize projects that enhance grid security and electricity quality, while ensuring regulated revenue under zero or negative price conditions. This framework directly supports integration of solar power systems and off-grid solar power systems using lithium ion batteries and LiFePO4 batteries.
Regarding energy storage, the decree integrates storage into the renewable-specific subsidy framework, removing economic penalties for hybrid storage projects and establishing storage as a key technology for system flexibility and stability. Following revisions to Articles 11 and 21, non-self-consumption hybrid projects can receive subsidies based on the total renewable generation, and “Category III Hybrid” projects (renewables + storage, without self-consumption) are clearly defined for calculation purposes. With the updates to Appendix XV, storage is formally included in the non-market priority dispatch sequence, enjoying the same priority as pure renewable installations. Technically, storage facilities above 5 MW (0.5 MW for island grids) must upload real-time telemetry data to REE; hybrid storage systems must report generation and storage data by module. These provisions take effect from January 1 and June 1, 2026, respectively, facilitating integration of solar energy projects with lithium batteries and other energy storage solutions.
The decree further establishes energy storage as a core component of power system operation, making it a critical element for enhancing system flexibility and renewable energy absorption. Although storage now has an independent technical status, a dedicated subsidy mechanism has not yet been implemented. Non-hybrid storage projects still rely on market transactions, capacity markets, or future support policies for profitability. This regulatory clarity strengthens the role of solar power systems, off-grid solar power systems, and LiFePO4 batteries in supporting Spain’s energy transition and enabling wider adoption of lithium ion batteries for both commercial and residential applications.
Poland Launches New Round of Residential Renewable Energy Subsidies in Warsaw
The Warsaw city government has recently launched a new round of renewable energy subsidies, offering financial support for energy production and storage investments to residents of the capital. The 2025 budget amounts to 35 million PLN, a significant increase from 18.78 million PLN in 2024, with applications open until March 31, 2026. This initiative aims to accelerate the adoption of clean energy technologies and enhance local energy self-sufficiency.
Eligible projects include photovoltaic installations, wind turbines, solar thermal collectors, heat pumps, and electric power storage systems. However, storage systems are limited to use in combination with solar or wind installations and must have a minimum capacity of 2 kWh. The program encourages the deployment of modern storage solutions, including lithium ion batteries packs, 48V batteries, and 48V lithium batteries, supporting efficient integration with residential renewable energy systems.
Czech Republic Launches Independent Energy Storage Integration with Legal Recognition
In the past, energy storage in the Czech Republic was often tied to the generation side, such as supporting solar energy projects or wind power plants. The introduction of LEX OZE III legally defines energy storage as an independent commercial activity, allowing systems like 5kW LiFePO4 batteries or 10kW battery LiFePO4 to connect directly to the grid without being paired with generation.
Following this policy:
- Energy storage is no longer just an “accessory” to generation projects; home energy storage batteries can now operate as standalone assets.
- Storage can independently access the grid and participate in the market as a flexible power resource, including solar energy battery storage solutions.
- Grid operators can directly dispatch storage systems, enabling higher system flexibility and efficiency.
- This regulatory shift opens opportunities for independent storage development and larger-scale commercial operations. Storage systems, whether a 10kW battery or smaller residential units, can perform key functions such as power balancing, grid stabilization, and peak-valley arbitrage. For industrial, commercial, and residential users, this not only reduces electricity costs but also creates new revenue models, enhancing the value of investments in LiFePO4 batteries and other advanced storage technologies.
Vietnam Policy: Coupling Storage Grants Higher Feed-in Tariffs, 16GW Deployment Planned by 2030
The Vietnamese government has issued Decision No. 988/QD-BCT, outlining plans to deploy 10–16 GW of energy storage capacity by 2030, with nearly 100 GW projected by 2050.
Under Decision 988/QD-BCT, new solar PV projects are required to meet specific storage integration standards in order to qualify for higher feed-in tariffs. Projects opting for coupled storage must comply with the following technical requirements:
- Storage capacity: at least 10% of the solar PV installed capacity.
- Discharge duration: 2 hours, ensuring sufficient regulation capability during low sunlight or grid fluctuations.
- Charging proportion: storage must be charged with at least 5% of the total energy generated by the PV plant.
Solar projects without integrated storage can still be developed, but their feed-in tariffs will be lower compared to those with storage integration.
Australia Introduces New Subsidies for Commercial and Industrial Solar PV Systems
Under the Victorian Energy Upgrades (VEU) program, a new incentive policy has been introduced, marking the first time that commercial and industrial rooftop solar PV systems are eligible for subsidies.
Key policy points:
- Target beneficiaries: Commercial and industrial enterprises.
- System size: Rooftop installations ranging from 30–200 kW.
- Component requirements: Solar modules must be from officially verified brands to prevent companies from receiving low-quality panels.
- Full monitoring: Systems must include an online monitoring platform, allowing enterprises to track generation and compare it in real-time with their electricity consumption.
- Standardized design: Installers must follow Australian PV design and grid-connection standards to ensure safety and compliance.
- Warranty requirements: Modules must have at least a 10-year warranty and inverters at least 5 years. If the manufacturer is not based in Australia, a local warranty contact must be clearly designated.
- Grid connection threshold: Total inverter capacity must reach at least 30 kVA and comply with utility connection agreements.
The policy provides a maximum pre-paid incentive of up to AUD 34,000, effectively serving as an upfront reward for participating enterprises.
