The prospect of the lithium-ion battery industry is hot, and the price competition for lithium batteries will become more intense in the future. Some people in the industry predict that homogeneous competition will only bring about vicious competition and lower industry profits. In the future, the overall price competition of lithium batteries will become more intense, but there will be a trend of polarization in the market, and price competition will become more intense. Product companies may enjoy relatively better prices and profit margins with the large-scale adoption of downstream application industries, depending on the company’s own technology accumulation and R&D strength.
The prospect of lithium-ion battery industry is hot, and the price competition of lithium battery will be more intense in the future
With the gradual deepening of the industrialization of new energy vehicles, countries around the world and key companies have stepped up efforts to develop the lithium-ion battery industry in the field of power lithium batteries. The technology of high specific energy power lithium batteries based on new materials and structures has become the focus of competition in various countries. Improving the safety, lifespan, and low-temperature characteristics of current automotive power lithium batteries and reducing costs are the direction of industrial technology development.

The old problems faced by my country’s lithium-ion battery industry, such as lack of core technology, low overall automation level, and homogeneous competition, have not been resolved. At present, there are new problems such as tight funds, rising production rates, new inventory, and declining gross profit margins. Coupled with the prevalence of local protectionism, policy implementation is not in place, which restricts the healthy growth of excellent companies. At present, the supply and demand of the lithium battery market is seriously unbalanced, especially the production utilization rate of power lithium batteries is below 30%.

From the point of view of the key components of lithium-ion batteries, companies in the field of positive electrode materials, negative electrode materials, electrolytes, and separators are all facing problems such as homogeneous competition, excess production, and price wars to varying degrees. The general excess production of lithium battery materials has led to an imbalance between supply and demand, increased downstream bargaining power, and disorderly price competition has become the norm. Among them, the excess of lithium iron phosphate is the most serious, and the total production utilization rate is below 10%.
One of the reasons for the rapid development of lithium-ion batteries is that automakers around the world are accelerating the production of electric vehicles. result. On the other hand, although lithium-ion batteries are currently an important choice for electric vehicle manufacturers, in the long run, the production of other battery materials continues. Battery manufacturers are trying to use advanced technologies to improve the performance of other materials, reduce costs, and expand Yield.

The future development trend of my country’s lithium-ion battery industry
First: The market size will continue to expand. With the rapid development of my country’s mobile phone, electric vehicle and other industries, the market demand for lithium-ion batteries will continue to rise. The report predicts that the market size of my country’s lithium-ion battery industry will exceed 100 billion by 2024.
Second: The production of lithium-ion batteries will still be concentrated in the eastern coastal areas. In the future, the production area of lithium-ion batteries will still be dominated by the eastern coastal areas of Guangdong, Jiangsu, and Fujian. The eastern part will focus on the research and development of high-end lithium-ion battery technology, and the production of basic lithium-ion batteries will be transferred to some central regions.
Third: The power field is still the biggest breakthrough in the demand for lithium-ion batteries. Driven by national policies, new energy vehicles have broad development prospects, and power lithium-ion batteries, as the core components, also usher in a great opportunity for development.
In the lithium-ion battery industry, there are currently two options before us: one option is to continue to fight alone on the same level without standards, and continue to compete with peers in terms of price; the other option is to integrate the entire industry The technical strength of each link in the chain is combined to highlight the advantages of integration in various subdivisions.
For many companies in the domestic lithium battery industry, whether they want to introduce an international supply chain or integrate the entire industrial chain, technology is always the driving force behind the industry, and only when breakthroughs are made in technology can there be a rise in the terminal application market.
In the next few years, my country’s lithium battery market will continue to grow rapidly, and the new demand for power lithium batteries will mainly come from the rising demand for ternary batteries. In 2019, the subsidy policy may be adjusted again, and the battery price will be further lowered on the basis of the price in 2018. Therefore, some companies with poor technology and profitability will be eliminated, high-end products will benefit, and the industry concentration will further increase. Some companies with advantages in scale and technology will have better prospects.