en.Wedoany.com Reported - Hong Kong-based battery supplier Tianneng International has signed a letter of intent with Polish solar contractor ELQ Energy to jointly build an energy storage system assembly base in Czestochowa, Poland, with a planned capacity of 5GWh over three years. This project marks another iconic move by Chinese energy storage companies to deepen their presence in the Central and Eastern European market.
The project adopts a localized operational structure through a joint venture, with Tianneng International holding a 50% stake as the core technology and supply chain provider, responsible for delivering energy storage system production processes, quality standard systems, and ensuring stable supply of core raw materials. ELQ Energy holds a 45% stake, leveraging its local Polish power engineering resources and market channels to oversee production management, handle European regional market sales, and manage customer connections. Local enterprise KM Grom Group holds a 5% stake, participating in project implementation and assisting with local business coordination and compliance matters.
The capacity ramp-up is phased: initially, a 100MWh energy storage system assembly capability will be launched, completing production line commissioning and local supply chain integration. In the first year of operation, the target is to scale capacity to 1GWh, and within three years, to 5GWh, covering system delivery needs for large-scale power station storage, commercial and industrial storage, and other scenarios. ELQ Energy recently completed the acquisition of the photovoltaic business of Polish energy company Polenergia, bringing experience in power infrastructure construction and solar project operations. Its entry into energy storage assembly represents a natural extension of its business chain, providing a local industrial foundation for the project's rapid implementation.
Poland is one of the core markets for energy transition in Central and Eastern Europe. In recent years, photovoltaic installations have grown rapidly, driving demand for energy storage on both the grid-side and power-source-side. Located at the geographical center of Europe, Poland's logistics network can reach Western, Southern, and Northern European countries, effectively shortening energy storage system delivery cycles and reducing cross-border logistics costs. As EU battery regulations and the Carbon Border Adjustment Mechanism gradually take effect, localized production and local carbon footprint accounting for energy storage products have become key market access barriers. Establishing assembly capacity in Poland is a necessary step to circumvent trade barriers, get closer to downstream customers, and improve service response speed.
Tianneng International has deep expertise in the battery field in China, with mature technical accumulation in energy storage cells and system integration. It has previously entered the European market through product exports. By adopting a "technology export + joint venture factory" model in Poland, the company can leverage local partners to quickly achieve market access, compliance qualifications, and localized customer resource connections, reducing the risks of independently building and operating factories overseas. At the same time, by controlling core raw materials and technical standards, it occupies high-value segments of the industrial chain, achieving overseas capacity expansion through an asset-light model. Against the backdrop of intensified price competition and higher delivery time requirements in the European energy storage market, localized assembly capabilities will become a core lever for companies to enhance market competitiveness.
This project reflects the phased changes in Chinese energy storage companies' overseas expansion: initially focused on exporting cells and complete products to capture manufacturing profits; then gradually extending to system integration and overseas warehouse layouts to improve delivery efficiency; and now moving further toward localized assembly and joint venture factories, embedding the industrial chain deeply into overseas markets. This shift is both an active adjustment to changes in European policies and market conditions, and a manifestation of the upgrade from "product going global" to "capability going global" in China's energy storage industry.
The injection of Chinese companies' technology and production capacity will effectively fill the gap in local energy storage system manufacturing capabilities in Central and Eastern Europe, drive the development of surrounding supply chains, and promote the improvement of the regional energy storage industry ecosystem. The "Chinese technology + local operation" joint venture model also provides a replicable reference path for more Chinese energy storage companies to establish a presence in Europe.
