Why More Countries Are Building Local ESS Manufacturing Plants

2025-11-26 09:15:48

From 2024 to 2025, many countries—including Saudi Arabia, UAE, Turkey, India, Mexico, Vietnam, and South Africa—have launched initiatives to localize energy storage manufacturing. This trend is driven by several factors:

Energy security and national strategy priorities

Job creation and industrial development

Incentives such as tax benefits and import tariff reductions

Growing local demand for C&I and utility-scale ESS

Desire to diversify away from single-source supply chains

For Chinese manufacturers, this shift presents new opportunities beyond traditional exports. Collaboration models such as OEM/ODM production, joint ventures, localized assembly, and technical licensing are becoming increasingly common.

Over the next decade, localized ESS production will accelerate globally, reshaping the supply chain and creating new growth opportunities for manufacturers with strong technology and flexible cooperation models.