According to industry sources cited by Reuters, the total value of these investments could exceed 1 billion USD. Xiamen Lithium Energy Storage Technology, a company expanding in Europe and the United States, has approached industry managers in Vietnam to discuss a 900 million USD investment to build a factory opening over 30 hectares.

According to Reuters, if the investment materializes as planned, it would become one of the largest foreign investors in the nation.

A second source confirmed that the investment under consideration would be worth at least 500 million USD.

Previously, VIR reported that Tran Duc Thang, Secretary of Hai Duong Party Committee, held a meeting and working session during the week of May 22 with the leadership of Xiamen Lithium Energy Storage Technology.

During the meeting, the director of investment and development at Xiamen Lithium Energy Storage Technology Will Shangguang, and his delegation explored the potential advantages of Hai Duong, focusing on its geographical location, transportation infrastructure, industrial zones, and skilled workforce.

Two Chinese energy storage manufacturers consider investments in Vietnam.

Founded in 2019, Xiamen Lithium Energy Storage Technology’s headquarters is located in Haicang, China, with additional offices and manufacturing facilities in the US, Germany, India, Australia, and Singapore.

Xiamen Lithium Energy Storage told Reuters that they do not have any pending deals. However, they shared plans to expand their production capacity to 70GW by the end of this year, compared to the current level of 15GW.

The firm specializes in manufacturing fixed energy storage products, including battery cells and large containers, for managing energy supply from solar or wind farms. The company is not currently active in Vietnam.

Another company intending to make a significant investment in Vietnam is Growatt New Energy.

The company has leased a manufacturing plant in Vietnam and plans to allocate around 300 million USD to purchase approximately 15ha of industrial land for a new factory.

Growatt New Energy is involved in the production of battery systems and energy storage inverters for commercial and residential purposes. The company declined to comment on the matter.

According to Precedence Research, the global energy storage market is estimated to reach a value of approximately 224 billion USD by the end of this decade, compared to just over 31 billion USD in 2021. Major players in the market include Tesla, Panasonic, and Philips.

Vietnam is a growing renewable energy market as its economy is booming and electricity shortages persist this summer.