Tantech Holdings Ltd (TANH): Business Model Canvas [Dec-2025 Updated]

You're digging into Tantech Holdings Ltd's (TANH) actual business engine, and honestly, it's not a simple one-trick pony; it's a fascinating pivot from traditional bamboo charcoal into some high-growth areas. As a former head analyst, I see a company balancing legacy operations-which still generated $42.94 million in TTM Revenue as of late 2024-with aggressive new ventures like specialized electric vehicles and developing a U.S. green building materials franchise. To really understand where the next dollar comes from, you need to see how these nine core blocks fit together, from their $35.19 million cash position to that key $5 million flooring agreement in the U.S. market. Let's break down the whole structure below.

Tantech Holdings Ltd (TANH) - Canvas Business Model: Key Partnerships

You're looking at the critical external relationships Tantech Holdings Ltd (TANH) established to make its business model work as of late 2025. These alliances are key for securing revenue, accessing technology, and managing the supply chain for both its established charcoal products and its newer electric vehicle (EV) components.

The most concrete financial commitment found relates to the construction materials segment through its U.S. subsidiary, Gohomeway Group Inc.

The strategic focus on the EV sector involves navigating a complex global environment. For context, announced global battery production capacities are projected to exceed demand through 2030, but US domestic manufacturing capacity is projected to meet 130% of its 2030 demand based on announced projects. Still, rising tariffs on imported components, like cathode active materials, could increase NCM811 cell manufacturing costs in North America to $95 per kilowatt-hour in 2025.

The research and development efforts, particularly around advanced carbon materials, are vital for Tantech Holdings Ltd's long-term value proposition. These collaborations aim to secure intellectual property and technological advantage. The structure of these academic relationships often involves securing external expert guidance, which in some Chinese government-supported programs for 2025, included a salary match of 1 to 2 million Yuan annually for external experts.

Regarding the raw material supply chain, Tantech Holdings Ltd's historical business relies on bamboo charcoal production. The stability of this input stream is managed through established supplier relationships. While specific 2025 figures aren't public, the company's overall operations are supported by certifications like ISO 90000 and ISO 14000.

The expansion into new energy vehicles, which includes street sweepers and other electric vehicles established through subsidiaries like Lishui Smart New Energy Automobile Co., Ltd. and Zhejiang Shangchi New Energy Automobile Co., Ltd. since November 2020, necessitates partnerships with renewable energy technology firms. These potential joint ventures are aimed at scaling up production and integrating next-generation components. One related, though geographically distinct, initiative mentioned in late 2025 was the TANTECH Digital Economy Initiative in Tanzania, valued at 20 million Euros, with 18 million Euros directed to non-government implementation partners.

You should track the execution of the Heidi Enterprise Group contract closely; that $5 million annual commitment provides significant revenue visibility for a company that underwent a 1-for-40 common share consolidation effective February 13, 2025, to maintain its NASDAQ listing. Finance: draft 13-week cash view by Friday.

Tantech Holdings Ltd (TANH) - Canvas Business Model: Key Activities

You're looking at the core functions Tantech Holdings Ltd is executing as of late 2025, based on their latest reported structure. Honestly, the business has seen a significant pivot following 2024 restructuring.

• Manufacturing bamboo charcoal-based household and industrial products.
• Production and assembly of specialized electric vehicles (EVs) and power batteries.
• Global trading business, including rubber and other commodities.
• Developing U.S. wholesale distribution and a franchise system for green building materials.
• Commercial factoring services for supply chain businesses.

To be fair, the second bullet point requires a major asterisk. Tantech Holdings Ltd underwent significant strategic restructuring in 2024, including the divestiture of its electric vehicle business and certain subsidiaries. So, production and assembly of specialized EVs and power batteries is no longer a current key activity for the company as of late 2025.

The company is now focusing on its core bamboo charcoal business while expanding into new areas like biodegradable packaging and commercial factoring services. Here's a look at the last fully reported financial snapshot, which covers the activities leading up to the end of 2024, which informs the 2025 operational base.

The bamboo charcoal segment remains central. While specific TANH production volumes aren't public for 2025, the market context shows the sector's scale: the Global Bamboo Charcoal Market size was valued at around USD 17.42 billion in 2024 and is projected to reach USD 26 billion by 2030. Also, the overall global charcoal market is projected to reach approximately 72.65 million tons by 2025.

For the newer focus areas, the expansion into U.S. distribution saw a subsidiary finalize its EU trademark registration in January 2025. The commercial factoring services are an expansion area, but specific revenue contribution for 2025 isn't broken out in the latest reports.

The trading business, which includes rubber and other commodities, is part of the overall revenue stream, but the latest reported trade volume for the stock on December 04, 2025, was 10.256K shares, which reflects market activity rather than commodity volume.

Tantech Holdings Ltd (TANH) - Canvas Business Model: Key Resources

You're looking at the core assets Tantech Holdings Ltd (TANH) relies on to run its business as of late 2025. These are the tangible and intangible things the company owns that are essential for its value proposition.

The financial foundation is anchored by liquid assets. As of the close of fiscal year 2024, Tantech Holdings Ltd reported $35.2 million in cash and cash equivalents. This figure, reported on December 31, 2024, provided a healthy liquidity position, further supported by a current ratio of 10.0:1 at that time. The company also reported total debt of $4.51 million, resulting in a net cash position of $30.68 million.

Tangible operational assets are centered in China. The core bamboo charcoal production is executed at a modern facility in Lishui, Zhejiang Province. This operation occupies a 39,200 square meter manufacturing facility situated on a 51,400 square meter base.

Regarding the former Electric Vehicle segment, Tantech Holdings Ltd's subsidiary, Shangchi Automobile Co., Ltd., historically possessed the capability to manufacture and sell various electric vehicles, including street sweepers. A historical capacity figure cited for the predecessor entity was approximately 5,000 EVs annually. However, you should note that Tantech Holdings Ltd underwent significant strategic restructuring in fiscal year 2024, which included the divestiture of its electric vehicle business and certain subsidiaries.

Intangible assets include critical certifications and intellectual property. Tantech Holdings Ltd is fully certified under both ISO 90000 for quality management and ISO 14000 for environmental management systems. The push into international markets is protected by intellectual property, specifically the GOHOMEWAY brand. Gohomeway Group Inc., the U.S. subsidiary established in late 2024, secured the European Union Trademark Registration Certificate in May 2025, with registration number 019131253, covering Classes 19, 20, and 35.

The U.S. market entry is supported by a significant commercial commitment tied to this IP. In December 2024, Gohomeway Group Inc. signed an annual purchase agreement for flooring products, committing to procure between $400,000 and $500,000 monthly, totaling $5 million for the period of January 2025 to December 2025.

Here's a quick look at the key physical and certified resources:

• Facility size in Lishui: 51,400 square meter base.
• Manufacturing floor space: 39,200 square meter.
• EU Trademark Registration Number: 019131253.
• Historical EV annual capacity: Approximately 5,000 units.
• Total shares outstanding (as of late 2024): 1.36 million shares.

The composition of the company's primary operational assets can be summarized:

The company's focus has clearly shifted, as evidenced by the 2024 divestiture of the EV segment and the concurrent establishment of U.S. subsidiaries like Gohomeway Group Inc. in December 2024 to focus on green building materials.

Finance: draft 13-week cash view by Friday.

Tantech Holdings Ltd (TANH) - Canvas Business Model: Value Propositions

Eco-friendly, formaldehyde-removal carbon products for purification and deodorization. Tantech Holdings Ltd operates within the Consumer Product segment, which includes the Charcoal Doctor brand products. The company emphasizes that its products are considered environmentally friendly due to the fast growth rate of bamboo used in production.

Specialized electric vehicles, like street sweepers, for commercial use. The Electric Vehicle segment offers products including street sweepers, which began accepting customer orders in July 2021. The global street sweeper market size was valued at USD 2.43 billion in 2025.

High-quality, low-emission barbecue (BBQ) charcoal under the Charcoal Doctor brand. The company sells BBQ charcoal in China, though since 2019, it purchases these briquettes from third-party manufacturers due to stricter local environmental requirements.

Green building materials (engineered wood flooring) for the U.S. market. Tantech Holdings Ltd, through its U.S. subsidiary Gohomeway Group Inc, secured a significant contract for flooring products spanning January 2025 to December 2025. This value proposition targets the North American wood flooring market, which was valued at USD 7850.86 million in 2025.

The financial scale of this segment relative to the market is notable:

Supply chain financing via the commercial factoring subsidiary. While specific figures for Tantech Holdings Ltd's commercial factoring subsidiary are not detailed, the broader global supply chain finance market size was estimated at USD 7.5 billion in 2025.

The overall financial context underpinning these value propositions, based on the last reported full year (FY 2024) or trailing twelve months (TTM) data, includes:

• Revenue (TTM/FY 2024): $42.94 million.
• Gross Margin (LTM): 20.83%.
• Market Capitalization (as of Dec 4, 2025): $1.51 million.
• Shares Outstanding: 1.36 million.

Tantech Holdings Ltd (TANH) - Canvas Business Model: Customer Relationships

You're looking at how Tantech Holdings Ltd (TANH) interacts with its buyers across its diverse business lines as of late 2025. The approach shifts dramatically depending on whether you are dealing with a retail consumer in China or a major U.S. distributor.

Transactional sales model for retail consumer products.

For the Consumer Product segment, which handles Charcoal Doctor branded items and BBQ charcoal in China, the relationship is largely transactional. This segment contributes to the overall previous year revenue of 42.94 M USD. The customer interaction here is focused on high-volume, lower-margin sales where price competition from smaller producers is a constant factor. The company's low Price-to-Book ratio of 0.02 suggests investors see limited premium value in the current asset base, which reflects the nature of these high-volume, price-sensitive relationships.

Dedicated account management for large commercial EV and factoring clients.

For larger, more strategic financial and industrial clients, Tantech Holdings Ltd (TANH) employs a dedicated management approach. This is evidenced by the subsidiary's prior factoring agreement, which was valued at RMB 50 million, equating to approximately US$7.8 million. This level of engagement requires specialized teams to manage cash flow solutions and supply chain finance, a clear departure from the retail model. The company's EV segment, which includes solar cells and lithium-ion batteries, also necessitates this higher-touch service level due to evolving technology and regulation risks.

Developing a franchise model for U.S. green building materials distribution.

The U.S. expansion strategy, managed through Gohomeway Group Inc., is actively moving toward a structured distribution relationship. The plan involves developing a comprehensive distribution network and franchise system. This signals a shift from direct sales to a partner-centric model for the green building materials side of the business. This is a critical area for future growth, especially given the $5 million annual purchase agreement secured for 2025, which is nearly four times the company's current market capitalization of 2.39 M USD as of late 2025.

Direct sales and export management for the trading segment.

The trading segment relies on securing large, committed purchase orders, which function as the primary customer relationship anchor. The flooring products contract, running from January 2025 through December 2025, guarantees monthly orders between $400,000 and $500,000. This provides Tantech Holdings Ltd (TANH) with significant revenue visibility for the year, which is vital for a micro-cap entity. The export management function supports these international commercial relationships.

You need to see how these different customer types map against the resources deployed:

Customer support for product quality and defintely logistics.

Support across all segments must address quality and logistics, especially when dealing with price-sensitive charcoal briquettes where competitors offer lower prices. For the U.S. flooring business, successful logistics execution is paramount to maintaining the $5 million commitment. The company's prior year Net Loss was (3.57 M), meaning cost control in logistics and support is non-negotiable to improve profitability metrics like the Operating Margin of 0.09 %.

The key touchpoints for support involve:

• Addressing quality concerns for Charcoal Doctor products in China.
• Ensuring timely delivery for the $400,000 to $500,000 monthly flooring shipments.
• Managing compliance and service tiers for factoring clients.
• Supporting new U.S. franchise partners on operational setup.

If onboarding for new distribution partners takes longer than expected, the timeline for realizing the franchise model's potential revenue stream will slip.

Finance: draft 13-week cash view by Friday.

Tantech Holdings Ltd (TANH) - Canvas Business Model: Channels

Retail stores and distributors in China for consumer products

• Established domestic sales and distribution network for bamboo charcoal-based products.

Wholesale distribution network in the U.S. via Gohomeway Group Inc.

• Secured annual purchase agreement with Heidi Enterprise Group for $5 million in flooring products for the period January 2025 to December 2025.
• Monthly procurement under this agreement ranges from $400,000 to $500,000.
• Strategy includes wholesale distribution of branded green building materials and franchise system development.

Direct sales force for electric vehicles and industrial clients

• Electric vehicle business was divested in 2024.
• Historical EV sales contracts signed in September 2017 totaled approximately $20 million.

E-commerce platforms for international and domestic sales

• Part of the established international sales and distribution network for bamboo charcoal products.

Subsidiary-operated commercial factoring services

• Subsidiary First International Commercial Factoring (Shenzhen) Co., LTD engages in commercial factoring for businesses in and related to its supply chain.

Tantech Holdings Ltd Key Financial Metrics (Latest Available Data)

Tantech Holdings Ltd (TANH) - Canvas Business Model: Customer Segments

You're looking at the customer base for Tantech Holdings Ltd (TANH) as of late 2025, which reflects a significant strategic pivot following a restructuring in fiscal year 2024.

Chinese household consumers of air purification and cleaning products remain central to the Consumer Product segment. This group purchases products like household air purification and deodorization charcoal, often enhanced with silver ion nano powder to resist mold in damp storage conditions. Tantech Holdings Ltd also serves this market with items like humidifiers, pillows, mattresses, and wardrobe deodorizers, all leveraging their core bamboo charcoal expertise. The overall company revenue for the trailing twelve months ending December 31, 2024, was reported at $42.94 million.

The segment for commercial and municipal clients purchasing electric vehicles is now historical. Tantech Holdings Ltd underwent a significant strategic restructuring in 2024, which included the divestiture of its electric vehicle business. While the company previously secured large orders, such as a $20 million contract in September 2017 for electric vans and buses, this customer group is no longer a direct segment as of late 2025.

For U.S. distributors and retailers of green building materials, this represents a newer focus area. Tantech Holdings Ltd launched its Tanhome brand in 2024 specifically to target the North American market with wholesale distribution strategies for green building materials and the establishment of a franchise system. This move aligns with the company's commitment to expanding its international footprint in eco-friendly home and construction solutions.

The segment of businesses within the company's supply chain utilizing factoring services is part of the company's expansion into new areas post-restructuring. Tantech Holdings Ltd is looking to grow its commercial factoring services, which provides financial solutions to businesses within its operational network. Specific utilization rates or revenue contribution from this segment for the 2025 fiscal year are not yet publicly detailed.

Finally, international buyers of bulk charcoal and trading commodities are served through the export side of the Consumer Product segment. Historically, export sales have generally carried a higher gross margin compared to domestic sales. The company's overall gross profit for the fiscal year ending December 31, 2024, was $8.94 million, with a gross margin of 20.8%.

Here's a quick look at the current and recently divested segments:

The company also produces byproducts serving other niche customers:

• Agricultural sector clients using wood vinegar-based products as natural pesticides.
• Cosmetics, pharmaceuticals, and food processing industries utilizing glycerin production byproducts.

If onboarding for the new factoring services takes longer than expected, cash flow projections for the next two quarters could be defintely impacted.

Finance: draft 13-week cash view by Friday.

Tantech Holdings Ltd (TANH) - Canvas Business Model: Cost Structure

You're looking at the core expenses that drive Tantech Holdings Ltd's operations as of late 2025, following its strategic restructuring. Honestly, understanding where the money goes is key to seeing the path forward, especially after the EV segment divestiture.

The largest component of cost is tied directly to sales volume. The Cost of Revenue for Tantech Holdings Ltd stood at approximately $34.0 million for the trailing twelve months ending December 2024, driven by the ongoing manufacturing and trading activities in its core bamboo charcoal and related product lines. This number represents the direct costs associated with generating the reported revenue of $42.94 million in FY 2024.

Day-to-day operational overhead is captured in the Selling, General, and Administrative expenses. For the full fiscal year 2024, Tantech Holdings Ltd reported Selling, General, and Administrative (SG&A) expenses of approximately $4.92 million. This was a notable reduction from the prior year, reflecting the company's focus on streamlining operations post-restructuring.

Financing costs remain a relatively minor, but still present, drag on profitability. The Interest Expense reported for the fiscal year 2024 was $0.29 million. This figure is important to track, especially if the company relies on debt instruments to manage working capital or fund new, non-EV related ventures.

Here's a quick look at the key cost components we have concrete data for, based on the latest full-year filings:

Regarding the capital investment side, the focus has clearly shifted. Given the reported divestiture of the electric vehicle business in 2024, Capital expenditure for EV and carbon product manufacturing equipment is expected to be minimal or zero for new EV assets. The latest available figure for Construction In Progress, which typically captures costs for assets under development, was $0.00 million as of December 31, 2024, suggesting a pause or completion of major fixed asset additions in that area.

For the trading and material side, while specific procurement costs for bamboo and rubber aren't explicitly detailed as a standalone cost line in the latest summaries, the scale of trading activity gives us context. For instance, the U.S. subsidiary signed an annual purchase agreement in late 2024 for flooring products valued between $400,000 to $500,000 monthly for the 2025 period, totaling up to $5 million annually. This highlights a significant cost driver in the construction materials trading segment.

The primary cost drivers for Tantech Holdings Ltd's current structure include:

• Direct costs embedded in the $34.0 million Cost of Revenue.
• SG&A expenses, which were $4.92 million in FY 2024.
• Costs associated with the trading segment, evidenced by the $5 million annual contract signed for flooring products.
• Minimal or zero CapEx related to the divested EV segment.
• Interest payments totaling $0.29 million in FY 2024.

Finance: draft 13-week cash view by Friday.

Tantech Holdings Ltd (TANH) - Canvas Business Model: Revenue Streams

You're looking at the specific ways Tantech Holdings Ltd generates cash, which is crucial for understanding its financial health moving into late 2025. The TTM Revenue as of late 2024 was $42.94 million, which gives you a sense of the scale here.

The revenue streams for Tantech Holdings Ltd are diversified across several distinct business lines, though recent public disclosures focus heavily on specific contracts.

The primary confirmed revenue drivers for the 2025 fiscal year are:

• Sales of bamboo charcoal consumer products.
• Sales of electric vehicles and related components.
• Revenue from the trading business (rubber and other commodities).
• Green building material sales, anchored by the $5 million U.S. contract for 2025.
• Commercial factoring service fees and interest income.

The most concrete figure for 2025 revenue visibility comes from the green building materials segment. Tantech Holdings Ltd's U.S. subsidiary, Gohomeway Group Inc, secured an annual purchase agreement in December 2024, running through December 2025. This agreement guarantees a significant, predictable income stream.

Here's a quick look at the key financial context and the confirmed 2025 contract value:

The bamboo charcoal business has been Tantech Holdings Ltd's foundation for over a decade, involving production, research, and development of these specialized products. The electric vehicle segment, which includes street sweepers, is managed through subsidiaries established in November 2020. To be fair, the exact revenue contribution from these segments for the full year 2025 isn't broken out in the latest readily available data, so we rely on the total TTM figure as a baseline.

The commercial factoring service is handled by the subsidiary First International Commercial Factoring (Shenzhen) Co., LTD. Interest income and fees from this service contribute to the overall revenue mix, though specific figures for 2025 are not publically detailed in the same way the construction materials contract is. The trading business, involving rubber and other commodities, is also listed as a component of their revenue generation strategy, but specific 2025 performance data is not available in these reports. If onboarding takes 14+ days, churn risk rises, which is a general business risk but applies to service-based revenue like factoring.

The $5 million contract alone represents a substantial portion of the prior year's total revenue, suggesting a significant shift or boost in the green building material stream for 2025. This is a defintely important development to track.

Finance: draft 13-week cash view by Friday.