The scale of the lithium battery industry is growing steadily

With the vigorous promotion of new energy vehicles and the accelerated popularization of digital electronic products, the lithium-ion battery market has also developed rapidly. Among them, China has become one of the rapidly developing markets for lithium-ion batteries in the world. Lithium batteries are mainly divided into consumer lithium-ion batteries, power lithium-ion batteries and energy storage lithium-ion batteries according to their downstream application fields. Before 2015, my country's lithium battery market was dominated by consumer lithium batteries and occupied an absolute dominant position. Since 2015, my country's lithium battery industry structure has undergone significant changes, and the demand for power lithium batteries has grown rapidly. In 2016, the power lithium battery market accounted for 52%, exceeding 50% for the first time and surpassing consumer lithium batteries. In 2015, it was only 47%; the market share of consumer lithium-ion batteries continued to decline, about 42% in 2016, and the proportions in 2014 and 2015 were 83% and 48%, respectively. Energy storage lithium batteries are used in photovoltaics. Distributed applications and mobile communication base station energy storage battery applications continue to expand, accounting for 6% in 2016. Global lithium battery shipments continue to grow. In 2016, the global lithium-ion battery market reached 185.023 billion yuan. With the good pull of the industrial chain, the lithium battery market is growing. It is estimated that the global lithium-ion battery market will reach 206.62 billion yuan in 2017. By 2018, the global lithium battery market will reach 231.326 billion yuan. In terms of shipments, global lithium battery shipments reached 115.41GWh in 2016 and 129.15GWh in 2017. By 2018, global lithium battery shipments will exceed 140GWh. The influence of China's lithium-ion battery industry is increasing. China is one of the most important producers of lithium-ion batteries. In 2014, China’s output of lithium-ion batteries reached 5.287 billion, accounting for 71.2% of the total global output, ranking first in the world for ten consecutive years. In 2016, the annual output of lithium-ion batteries in my country reached 7.842 billion, an increase of about three times compared with the 2.687 billion in 2010, with a compound annual growth rate of 19.54%. The sudden emergence of power lithium batteries In recent years, driven by energy technology changes and emerging technology companies such as Tesla, the global new energy vehicle industry has achieved explosive growth. my country's new energy vehicle industry is supported by policies and has become the world's largest electric vehicle market since 2015. In 2017, the production of new energy vehicles reached 794,000, a year-on-year increase of 53.8%, and the year-on-year growth rate increased by 2.1 percentage points. In 2017, the new energy vehicle market accounted for 2.7%, an increase of 0.9% over the previous year. Recently, the Ministry of Industry and Information Technology further stated that it will formulate a timetable for the suspension of fuel vehicles, which provides a strong policy guarantee for the future development of the new energy vehicle industry. It is expected that the sales of new energy vehicles will maintain a high growth rate of about 40% in the next four years, and the demand of related upstream industries will continue to be driven. Driven by the boom in the production and sales of new energy vehicles, my country's lithium-ion power battery production capacity has entered the 'Great Leap Forward' since the second half of 2015, and a large amount of social capital has poured in. According to incomplete statistics, in 2016, the production capacity of lithium-ion power batteries built by related enterprises in my country reached 100-130GWh/a. By 2017, the production capacity of power batteries in my country will be close to 200GWh/year. The rapid growth of power battery production capacity will greatly stimulate the upstream lithium battery material industry. Scale, the demand for key materials will increase substantially. The scale of the industry is growing steadily, and China's advantages are expected to expand. In 2017, the growth rate of the main application market for lithium-ion batteries slowed down. The global lithium-ion battery industry scale exceeded RMB 300 billion in the whole year, and the growth rate was 4 percentage points lower than in 2016. Under the continuous promotion of new energy vehicle promotion policies, China's electric vehicle production reached 650,000 in 2017, and its share in the global electric vehicle market will further increase. Power batteries lead the growth, and the market share will exceed 60%. In 2017, because domestic mobile phone brands have basically occupied the domestic market, it is more difficult to develop international markets. The growth rate is expected to drop to about 10%, and the output of notebook computers and tablet computers will decrease. Will continue to narrow, but still maintain a downward trend. Other consumer products such as wearables and drones are expected to show rapid growth, but the overall scale is relatively small. Overall, the market demand for consumer lithium-ion batteries will remain in 2017 A low growth rate of about 3%. At present, my country's lithium battery materials companies are constantly pouring into the international front line, and some materials companies have become one of the world's leading companies. From a long-term perspective, new energy vehicles will become an important industry in my country in the next few years. Chinese materials companies are expected to accelerate their development and usher in opportunities for global competition by leveraging on the huge domestic market space.