Shanghai (ZXZC)- On January 18, Ganfeng Lithium Group Co., Ltd. ("Ganfeng Lithium") announced that it recently signed a "Long-Term Supply Agreement" with Hyundai Motor Company, marking a strategic collaboration between the two entities.

Photo credit: Ganfeng Lithium

The agreement outlines that Ganfeng Lithium and its subsidiaries will supply lithium hydroxide products to Hyundai Motor for electric vehicle (EV) battery production. The annual supply quantities will be executed according to the terms of the agreement, with actual purchase quantities and sales amounts subject to the final purchase orders. The pricing of the products will be determined based on a pricing formula specified in the agreement. The performance period of the contract extend from January 1, 2024, to December 31, 2027.

This collaboration reflects a mutually beneficial partnership between the two parties, considering the current state of the lithium market, said Ganfeng Lithium. By signing this long-term supply agreement, Ganfeng Lithium not only meets Hyundai's crucial demand for lithium, a key raw material for battery production, but also enhances the company's sustained profitability and contributes to its long-term development.

Ganfeng Lithium noted that the signing of this agreement is expected to have positive impact on the company's operational performance during the contract's validity term.