China's Green and Low-Carbon Innovation Booms with 53,000 Invention Patents in 2024

China has seen significant innovation in green and low-carbon technologies during the 14th Five-Year Plan period, with 53,000 invention patents granted in 2024 alone. The clean energy and energy storage sectors showed robust growth, with four domestic companies ranking among the world's top 10 for green and low-carbon invention patent grants. China also recorded 6,356 Patent Cooperation Treaty applications in green and low-carbon technologies in 2024, up 130% from 2020.

China has taken a significant step to protect its lead in the global electric vehicle (EV) supply chain by introducing new export restrictions on core technologies used in lithium battery production. The Ministry of Commerce and the Ministry of Science and Technology updated the official export control list, adding advanced processes critical to the development of next-generation battery materials and lithium extraction methods. This strategic move aims to safeguard China's dominance in the EV battery sector [1].

The new export restrictions target technology exports, not finished batteries or equipment. Firms must now apply for licenses to export these technologies, affecting next-generation, high-performance battery tech. The restrictions particularly focus on advanced LFP (Lithium Iron Phosphate) and LMFP (Lithium Manganese Phosphate) cathode manufacturing and lithium extraction methods, reflecting China's dominance in affordable lithium battery technologies [1].

China's dominance in the EV battery sector is evident, with LFP batteries powering nearly 75% of new EVs in the country in 2024. Companies like Contemporary Amperex Technology Co. Ltd. (CATL) and BYD Co. Ltd. have played a pivotal role in refining LFP batteries into a cost-effective and safe standard, contributing to China's global lead in the sector [1].

The new export restrictions are expected to protect Chinese battery makers from intellectual property leakage and support long-term profitability through innovation. Gaogong Lithium Battery, a research firm, believes these measures will help sustain China's technological lead over international rivals [1].

Meanwhile, global rivals are making efforts to catch up. South Korean company LG Energy Solution has begun large-scale production of LFP batteries in the U.S., indicating a push to challenge China's dominance in LFP technology [1].

In a separate development, General Motors (GM) and Redwood Materials have signed a non-binding memorandum of understanding to build energy storage units made out of recycled EV batteries. This collaboration highlights the increasing focus on grid management and energy storage, driven by the rise of AI and the need for efficient energy distribution [2].

As China continues to innovate in green and low-carbon technologies, with 53,000 invention patents granted in 2024 alone, the global EV market is likely to see significant shifts in the coming years. The new export restrictions and increasing focus on energy storage will shape the competitive landscape and influence the growth of domestic and international companies in the sector [1].

References:
[1] https://www.caixinglobal.com/2025-07-16/china-tightens-export-rules-to-protect-its-lead-in-lithium-battery-tech-102341594.html
[2] https://www.theverge.com/news/708236/gm-redwood-battery-energy-storage-ev