20GWh power lithium battery project settled in Xiamen, China Aviation Lithium battery speeds up 'stride forward'

With a total investment of 10 billion yuan to build a 20GWh power lithium battery project, AVIC lithium battery has taken a big step forward on the road of reshaping reform. On June 30th, AVIC Lithium, a member company of the G20 Lithium Battery Summit, signed an 'Investment Cooperation Agreement' with the Xiamen Torch High-tech Zone Management Committee and Golden Circle Group, marking the official settlement of AVIC Lithium’s 'New Power Lithium-ion Battery Processing Line Project' in Xiamen Torch High-tech zone, the total planned investment of the project is 10 billion yuan. According to the agreement, the total land size of the project is 850 mu, which will be implemented in two phases. The first phase (A6 project) is scheduled to start in the third quarter of 2019, and will be put into operation in the fourth quarter of 2020, and then the second phase of the project will be started. After the overall project is put into production, it can form an annual output of 20GWh power lithium battery processing capacity. According to the announcement of AVIC Lithium Battery Shareholders *ST Integration, the Xiamen Torch High-tech Zone Management Committee and Jinyuan Group intend to increase capital in AVIC Lithium Battery step by step, with the capital increase not exceeding 3.5 billion yuan. The detailed capital increase period and capital increase price shall be finalized by all parties. The official capital increase agreement shall prevail. AVIC Lithium Battery stated that the signing of the new Xiamen project is an important part of AVIC lithium battery's successful implementation of strategic planning and smooth promotion of production layout. In the future, the planned annual output of AVIC's lithium battery will exceed 100GWh, and its output scale will be among the forefront of the industry. It is foreseeable that efficient production layout, comprehensive strategic reshaping and accelerated restructuring at the capital level are adding strength and confidence to AVIC Lithium for the next stage of fierce market competition. Various signs of the 'acceleration' of the change stated that 2019 has become the starting year for AVIC lithium battery to comprehensively deepen reforms and achieve rapid development, and key capabilities such as technology, output, and capital have gradually reached the lead. Looking back on 2018, under the leadership of the new management with the new head Liu Jingyu as the core, AVIC Lithium Battery reshapes the cultural system, fully implements the culture and talent strategy, product and technology leadership strategy, and quality strategy, and rapidly promotes strategic transformation and market transformation , Product transformation, customer transformation. In 2019, the 'acceleration' of the reform of AVIC lithium battery is still on the rise. At the market level, AVIC Lithium continues to focus on power lithium batteries, energy storage and the three major markets, and timely deploys upstream and downstream industries to continue to increase its market share in the new energy industry. At the product level, based on the platform model requirements of the OEMs, the company continuously adjusts and upgrades in the five major aspects of energy density, life, safety, power, and cost. From product development, supply chain, process control, customer service, etc., the entire process is systematically improved and upgraded, and clear requirements and detailed goals are put forward for different links. At the customer level, focus on serving target customers, cut redundant product lines, and have a deep understanding of target customers. Form strategic partnerships with customers who are most in line with the actual situation and with the highest willingness to improve efficiency and reduce costs as much as possible, so as to truly meet the market and meet the customers. The effectiveness of the transformation will gradually appear in 2019. According to data from the Advanced Industrial Research Institute (GGII), from January to May 2019, the ranking of AVIC's lithium-ion power lithium battery installed capacity has jumped to sixth place. Supporting customers include Changan Automobile, Beiqi Foton, Yutong Bus, Dongfeng Motor, Jiangxi Dacheng, Ruiqi Automobile and Jiangling Motors, etc. Gaogong Lithium was informed that AVIC Lithium is currently entering the technology development stage with domestic and foreign automakers such as FAW, SAIC, Great Wall, Volkswagen, and Daimler. It is worth noting that Liu Jingyu stated at the April Global Partner Conference that strategic adjustments have put AVIC lithium batteries into the fast lane of high-speed development, and production demand has begun to 'vertical volume.' High-end production 'preparation' The new power lithium battery project planned in Xiamen this time is an important part of AVIC lithium battery's strategic plan to smoothly advance the production layout, and it is also a 'grain and ammunition' for AVIC lithium battery to prepare for the next stage of competition for power lithium batteries. The driving factors behind the accelerated expansion of AVIC Lithium’s power lithium battery production include both the production guarantee consideration of the rising demand for power lithium batteries after the launch of the next electric vehicle market, as well as the optimization of power lithium battery technology and the new generation of batteries. Consideration of technical reserves. Liu Jingyu said at the scene that the power lithium battery industry is a national strategic emerging industry with huge market potential. AVIC Lithium Battery has full confidence in the development of the project in Xiamen and will strive to promote the project's early production and operation. It is understood that the new power lithium-ion battery processing line project of AVIC Lithium Power Xiamen will build a highly intelligent, green and environmentally friendly advanced battery and power system industrial base in accordance with international first-class and domestic leading standards. 'AVIC Lithium Battery will further increase Ru0026D investment, continue to carefully build products, and strive to make the company a world-leading battery manufacturer that can continue to develop.' Liu Jingyu emphasized. At present, AVIC Lithium Battery has two industrial bases in Changzhou and Luoyang, with a built output of 11GWh. At the same time, it has a professional Ru0026D institution-AVIC Lithium Battery Technology Research Institute, dedicated to the research and development and use of key technologies and advanced materials for power lithium batteries, creating a global An influential lithium-ion battery technology innovation platform. Gaogong Lithium understands that, based on the overall transformation of strategy, market, products, and customers, AVIC Lithium has made a comprehensive review and adjustment of production line planning and manufacturing capabilities, and is fully prepared for the next market and customer needs. GGII breaks down and points out that if power lithium battery companies want to dominate the new energy vehicle market, they must have full proactive advantages in terms of output guarantee, cost control, next-generation technology reserves and industrialization.