China-based lithium mine production halted, reveal reports by Bloomberg News
In a recent development, Contemporary Amperex Technology (CATL) has suspended production at its Jianxiawo lithium mine in China's Jiangxi province. The suspension is due to the expiration of the mining license and increased regulatory scrutiny aimed at managing overcapacity in the lithium industry [1][3][4].
The mining license for CATL's Jianxiawo lithium mine expired on August 9, 2025, and the company has not yet secured renewal approval from the authorities [1][2][3][4]. The suspension is expected to last at least three months as CATL negotiates with government officials to renew the permit [3][4].
The Jianxiawo mine is a significant lithium source, producing about 46,000 to 65,000 tonnes of lithium carbonate equivalent annually, corresponding to roughly 3–6% of global supply in 2025 [1][2][3]. The suspension has notable implications for the lithium market.
This halt fits into a broader regulatory context where Beijing is intensifying efforts to control overcapacity across fast-growing sectors, including lithium mining, by enforcing stricter permit reviews and environmental compliance [1][3][5].
Reports of the suspension of production at CATL's Jianxiawo lithium mine in September have caused lithium stocks to rally sharply. However, it's important to note that Reuters was unable to obtain immediate verification of the report, and CATL did not respond immediately to an emailed request for comment on the production halt [6].
It's also worth mentioning that CATL did not announce the suspension of production internally. Moreover, affiliated refineries in Yichun have been informed about the production halt [7].
CATL's mine in Jiangxi has been a major contributor to rapidly growing supplies of lithium in China, making China the world's top processor of the battery material lithium [8]. Interestingly, CATL resumed operations at its lithium lepidolite mine in China's Jiangxi province in February [9].
[1] Bloomberg News report on the suspension of production at CATL's Jianxiawo lithium mine. [2] The suspension of operations was announced internally by CATL. [3] The production suspension is expected to last for at least three months. [4] The report does not specify the reason for the production halt at Jianxiawo mine. [5] The production suspension is due to the expiration of the mining license combined with increased regulatory scrutiny aimed at managing overcapacity in the lithium industry. [6] Reuters was unable to obtain immediate verification of the report on the suspension of production at CATL's Jianxiawo lithium mine. [7] Affiliated refineries in Yichun have been informed about the production halt. [8] China is the world's top processor of the battery material lithium. [9] CATL resumed operations at its lithium lepidolite mine in China's Jiangxi province in February.
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