US Imposes 93.5% Tariff on Chinese Battery Anode Materials, While BESS Remains Exempt

The US Department of Commerce has issued a preliminary ruling to apply a 93.5% anti-dumping (AD) tariff on imports of active anode material (AAM) from China, bringing the total tariff rate to approximately 160%.

The announcement, made on 17 July 2025, follows a petition filed in late 2024 calling for the imposition of anti-dumping and countervailing duties on AAM imports. Although the petition initially proposed much higher rates, the provisional decision reflects a significantly reduced figure.

A final determination is expected by 5 December 2025, at which point the tariff rate may be revised.

BESS Remains Unaffected

Importantly, the tariff applies specifically to anode materials and does not include battery energy storage systems (BESS) or other related storage technologies. As a result, the energy storage supply chain for BESS remains unaffected by this trade action, ensuring that ongoing and planned projects can continue without additional tariff-related cost pressures.

Impact on the Battery and Energy Storage Market

This move highlights the growing focus on domestic production of critical battery components while reinforcing the need for a resilient and diversified energy storage supply chain. While upstream materials such as anode products are now subject to increased trade measures, downstream applications like BESS are expected to maintain stable market conditions in the near term.

The final outcome of the ruling will be closely monitored by industry stakeholders, as it could shape future investment decisions across the battery and energy storage sectors.