LVTONG Technology (301322.SZ) has disclosed that it has entered into a strategic cooperation framework agreement with Wuhan Dynamic Power Regeneration Technology Co., Ltd., a wholly-owned subsidiary of GEM (002340.SZ). Under this agreement, both entities are set to forge a far-reaching strategic alliance within the spheres of new-energy site vehicles and power battery recycling.

The scope of collaboration encompasses several key areas, including the procurement of lithium battery systems and vehicles, cooperative operational asset holding, joint market expansion efforts, and collaborative battery recycling initiatives. The overarching goal is to construct a closed-loop industrial ecosystem, spanning from the recycling of new-energy vehicles to the reprocessing of battery materials and the subsequent remanufacturing of power batteries. This initiative is geared towards fostering the growth of environmentally friendly and low-carbon industries.

While the pact is anticipated to yield favorable outcomes for the company's future endeavors, the precise terms of cooperation and the eventual results are still subject to further clarification and development.