(Yicai) Jan. 19 -- China’s Ganfeng Lithium has become the battery material supplier of South Korean carmaker Hyundai Motor in a bid to realize a win-win partnership.

Ganfeng Lithium will supply battery-grade lithium hydroxide, one of the main raw materials to make cathodes for ternary lithium batteries, to Hyundai for four years starting this year, the Jiangxi province-based company announced late yesterday, citing the long-term supply deal the pair recently signed.

Prices will be determined based on the pricing formula the two companies agreed on, Ganfeng Lithium added, without disclosing any further details about the supply deal.

The partnership between the two companies, which fully considers the lithium market situation, can meet Hyundai’s demand for key battery raw materials and help Ganfeng Lithium’s sustainable profitability, the supplier noted.

Ganfeng Lithium is one of China’s major lithium salt suppliers. It boasts many well-known overseas automakers, including Volkswagen, BMW, and Tesla, among its clients.

Shares of Ganfeng Lithium [SHE: 002460] were trading down 0.7 percent at CNY41.90 (USD5.88) as of lunch break in Shenzhen today. Its Hong Kong-listed stock [HKG: 1772] fell 2 percent to HKD24.85 (USD3.18) as of 11.55 p.m. today.

Editor: Futura Costaglione