Energy storage installation capacity is expected to surge by 8-17 times! China leads the global supply chain. ( Related stocks )

The Energy Storage International Conference is here!

According to China Securities Journal, on March 31, at the 14th Energy Storage International Summit and Exhibition, Chen Haisheng, Chairman of the Energy Storage Industry Technology Alliance under Zhongguancun, and Director of the Institute of Engineering Thermophysics, Chinese Academy of Sciences, released the “Energy Storage Industry Research White Paper 2026,” estimating that from 2024 to 2035, the cumulative installed capacity of global battery energy storage will surge by 8 to 17 times (166GW to 1414GW~2885GW). The global energy storage installed capacity landscape, which is currently mainly led by China, the United States, and Europe, will gradually expand to regions such as India and the Middle East and Southeast Asia.

From the perspective of global regional distribution, China, the United States, and Europe remain the top three regions by market scale for energy storage, and continue to lead the development of the global energy storage industry. In 2025, China’s newly added installed capacity of new-type energy storage reached 66.4GW/189.5GWh; the power scale and energy scale increased year over year by approximately 52% and 73%, respectively. Its share in the global market reached 58.6%, ranking first globally for four consecutive years.

The Energy Storage Industry Technology Alliance under Zhongguancun estimates that after the energy storage industry experiences an explosive growth phase in the early period, it will enter a period of growth-rate shifting. From 2026 to 2030, the average annual compound growth rate under conservative and ideal scenarios is approximately 20.7% and 25.5%, respectively. Although the relative growth rate may slow somewhat, the absolute incremental increase will still remain at a high level.

Public information shows that the 14th Energy Storage International Summit and Exhibition (ESIE 2026) will be held in Beijing from March 31 to April 3, 2026. As the world’s largest annual industry event for energy storage, it focuses on key topics such as the “Fifteenth Five-Year Plan” for energy storage, long-duration energy storage technology, energy storage going overseas, and green power coordination.

Meanwhile, data recently released by the Energy Storage Applications Sub-Association of the China Chemical & Physical Power Sources Industry Association indicates that in January to February 2026, the total newly added installed capacity of new-type energy storage reached 9.51GW/24.18GWh. Power and capacity increased year over year by 182.07% and 472.06%, respectively. This figure far exceeds market expectations, showing strong growth momentum in the energy storage industry.

On the policy front, on February 2026, the National Development and Reform Commission and the National Energy Administration jointly issued the “Notice on Improving the Capacity Electricity Pricing Mechanism on the Power Generation Side.” For the first time at the national level, it clearly established an independent new-type energy storage capacity electricity pricing mechanism on the grid side. This policy fills the institutional gap nationwide in capacity electricity pricing for new-type energy storage, and by stabilizing revenue expectations, it activates industry investment vitality.

As the power spot market achieves full coverage nationwide, independent energy storage projects can obtain multiple types of revenue through arbitrage based on peak-valley price spreads, capacity compensation, and ancillary services.

Leveraged capital: snapping up shares of these stocks this year

According to Eastmoney Choice data, since the beginning of this year, leveraged capital has snapped up a batch of energy storage concept stocks. Specifically, TBEA ranks first, with net financing purchases of nearly 1.6 billion yuan; BYD ranks second, with net financing purchases of nearly 1.3 billion yuan.

Among others, Goldwind Technology, Jinko Energy, EVE Energy, Grinm, Tesaplan, Far East Holding, SG NARI, Hiberus, Megmeet, KeXiang Co., Ltd., Baichuan Shares, Phoenix Energy, and others have net financing purchases ranging from 0.5 billion yuan to 1 billion yuan, not necessarily the same.

Institutions: China leads the global energy storage supply chain

In its research report, Citic Securities’ viewpoint is that energy storage is ushering in a new phase of growth, and the industry should布局 new directions

1) For large-scale storage, with domestic power spot market systems becoming more complete, independent storage utilization rates improving steadily, and the rollout of capacity electricity pricing, business models are gradually maturing. As demand returns to being driven by market-based value, we will see both quantity and quality advance together. For overseas large-scale storage projects, profitability is robust and the models are diversified; in a situation where the impact of trade policies is dampened, from 2025 to 2027, the CAGR for global large-scale storage installed capacity is expected to remain around 50%.

2) For industrial and commercial storage, benefiting from strengthened support in various countries, system costs decreasing, and a wider range of application scenarios, it is expected to enter a high-growth phase from 1 to 10.

3) The surge in AIDC and upgrades to power supply solutions also drive a buildup in demand for pairing with storage, further opening up growth space for the energy storage market. China has a complete energy storage industrial chain, from batteries to PCS to system integration, and leads the global energy storage supply chain. China’s energy storage manufacturers are expected to benefit as domestic energy storage product standards and profitability levels gradually improve. At the same time, by leveraging rich project experience, clear advantages in cost-effectiveness, and strong supply chain保障 capabilities, they will strengthen their advantage in global market share and dominance in industry discourse, and drive sustained high growth in performance.

In a research report, CICC states that currently, the increase in the cost of lithium carbonate has already to a certain extent been passed through on the large-scale storage and household-side storage segments, with ordering at higher IRR provinces and in overseas markets with energy shortages showing strong demand resilience. It is expected that integrators will achieve simultaneous growth in volume and pricing. From the perspective of market structure, the energy storage industry is shifting from self-discipline to substantive optimization of the competitive landscape. Component prices have already held above 0.85 yuan/W, basically fully transmitting fluctuations in raw material costs and policy expectations. We maintain a favorable view on the photovolatic-storage (light + storage) sector; it is suggested to focus on Beta recovery in the photovoltaic leading industrial chain, the earnings resilience of energy storage integration segments, and demand elasticity under the backdrop of rising energy costs.

（Source: Eastmoney Research Center）