Suez Group, a global environmental solutions provider based in France, announced a strategic partnership with China's Envision Energy to establish a Net-Zero Battery Industrial Park in France in order to create a sustainable electric vehicle and battery energy storage industry in the country while driving energy transition in Europe.

The industrial park, which will provide a wide range of components related to renewable energy supply, battery recycling and digital denationalization platforms, will help localize the battery sector and make France the central battery recycling hub for the continent, it said.

"The partnership underlines our strong commitment to supporting the ecological transition and the drive toward a circular economy in both countries," said Sabrina Soussan, chairwoman and CEO of Suez.

Lei Zhang, founder and CEO of Envision, said the strategic partnership will further extend the company's battery technology to recycling, leveraging its renewable energy system solutions and decarbonization platforms.

An analyst said Sino-French energy ties are to be further upgraded with China's ambitious targets for carbon neutrality and France's expertise in renewable energy.

Bilateral energy cooperation has gained momentum in recent years, spanning areas such as electric vehicle battery recycling and renewable energy investment, said Luo Zuoxian, head of intelligence and research at the Sinopec Economics and Development Research Institute.

The ever-deepening cooperation underscores the shared commitment to address global energy challenges while paving the way for a low-carbon future, Luo said.

Suez inked the cooperation deal during a state visit by the Chinese President to France this week, in addition to two other partnerships with Chinese companies — Chongqing Sanfeng Environment and Dongguan Water Group that focus on transforming waste into local and sustainable energy and pioneering EV battery recycling — key steps in the energy transition of both China and France.

Soussan said Suez expects revenue from the Chinese market to continue growing during the 2023-27 period, as China's top policymakers have assured greater efforts to attract foreign capital, widen market access and promote further opening up of modern service sector industries.