The world’s largest battery maker CATL said it was suspending operations at a lithium mine in China, sending shares of other producers soaring on speculation that Beijing is moving to tackle industrial overproduction.

(Reuters) -Chinese battery giant Contemporary Amperex Technology said on Monday it had suspended production at a major lithium mine after its license expired, sparking a surge in lithium futures and miners' share prices.

China’s electric vehicle (EV) battery industry is facing a powerful shake-up. The world’s largest battery maker, CATL, has stopped production at one of its biggest lithium mines, the Jianxiawo mine, after its permit expired.