On August 7, according to Forbes News Network, China is expected to account for more than 70% of the global battery market by 2020. In other words, China will dominate the global battery industry.

Data show that in 2016, China's new energy vehicle sales reached 517,000, maintaining the world for two consecutive years. Sales are expected to reach 1.5 million units by 2020. Large new energy vehicle sales base to drive the development of the battery industry. At present, China's battery manufacturers large and small close to 150. Moreover, the use rate of domestic lithium-ion batteries in Chinese brand electric vehicles has exceeded 90%.

In this case, China's domestic battery industry is also developing towards convergence, and more and more niche battery companies are gradually declining in the proportion of sales and even facing the risk of closure. At the same time, battery companies are developing monopolies represented by battery giants such as BYD, Ningde Times, and Guoxun High-tech.

In 2020, China's power battery industry accounts for 70% of the global battery industry

China not only has a good global sales volume of electric vehicles, but also a large sales volume of power battery companies. According to statistics, in the global power battery company sales ranking in 2016, seven of the top ten companies are from China, in turn, BYD, Ningde Times, Watma, Guoxun High-tech, Lisen, Bic and AVIC Lithium. In addition, Wanxiang A123 and Ha Optics also ranked 11th and 12th.

Data show that the total annual sales of new energy vehicles in 2016 was 517,000, and by the growth of new energy vehicle sales, China's annual production of lithium-ion batteries soared to 7.8 billion, an increase of 40%. It is predicted that China's power lithium batteries will also increase from 34% in 2015 to 70% in 2020.
At present, the global lithium ion market has risen steadily in recent years, the global scale reached 215.8 billion yuan in 2016, and the global lithium ion battery market is expected to reach 450 billion yuan by 2020, of which China's lithium ion battery market is expected to reach 300 billion yuan. The proportion was 66.6 percent, nearly 70 percent.

And the industry predicts that if the domestic power battery production capacity is fully released, the production capacity will reach 170GWh/ year. What is the concept of 170GWh/ year, 170Gwh can meet the total demand of annual production of 500,000 electric buses and 5 million electric passenger cars. Wang Zidong, director of the 863 electric vehicle major special power battery test center, said that such a capacity is more than seven times the current market demand. According to the new energy planning forecast, by 2020, China's demand for power batteries is 71.7GWh.

China's battery industry strengthens on the road

From the above data, China's battery industry is undoubtedly the world's "large" in volume. But when it comes to "strong", some people may question it. Because from the current point of view, everyone is familiar with the battery manufacturers of Japan's Panasonic, South Korea's Samsung and LG Chemical, Tesla Gigafactory, China's BYD and so on.

Battery technology started in Japan, has been further developed in South Korea, and is now growing in the Chinese market. However, there is a certain gap between China and foreign countries in battery technology and battery capacity. For example, at present, China's lithium iron phosphate energy density is 120 to 140 watt-hours per kilogram, and the energy density of ternary material batteries can reach 180 watt-hours per kilogram. In contrast, Japanese and Korean ternary material batteries can reach 300 watt-hours per kilogram in 2015. The Panasonic 18650 battery used in the Tesla Model3, which has been put on pre-sale, has an energy density of 333 watt-hours per kilogram.

In addition, Bian Shuguang, deputy director of the high-tech development Center of the Ministry of Science and Technology, said that compared with foreign countries, the United States has a relatively strong R & D design capability, Japan's production specifications are relatively strict, and China exceeds Japan in market share, occupying the world position. The gap between China and foreign countries is mainly in terms of single battery, but in terms of materials, and even in some basic power basic research, including consistency, battery safety, and core technology, there is still a large distance. From these levels, China's battery industry is "not strong".

In response to this situation, on July 4, Vice Premier Ma Kai of The State Council held a symposium on the promotion and application of new energy vehicles. At the meeting, it was clearly stated that by 2020, the goal of 350 battery cells and 260 watt-hours per kilogram of the system would be achieved. According to this calculation, in less than two and a half years, China's battery capacity ratio will be tripled from the present.

According to the "Made in China 2025" plan, the battery will reach 350 watt-hours per kilogram in 2020, 400 watt-hours per kilogram in 2025, and 500 watt-hours per kilogram in 2030. In terms of power battery research and development planning, it will reach 300 watt-hours per kilogram by 2020, and the cost will be reduced to less than 0.8 yuan per watt. The new plan calls for an energy density of more than 500 watt-hours per kilogram. From the perspective of development goals, it can be said that it is to catch up with the foreign battery industry. By 2020, the "big but not strong" of China's battery industry will be a thing of the past.

Regarding the phenomenon of "big but not strong" in China's domestic battery industry, industry insiders said to the automotive prophet that the Chinese battery industry cannot be generalized with "big but not strong". At present, the capacity density of China's batteries, including battery packs, is indeed not as good as foreign countries. However, compared with foreign countries, China's battery industry market application environment is better than foreign countries. According to the RolandBerger's Electronic Mobility Index for the second quarter of 2017 (RolandBerger 'se-MobilityIndex Q22017), the use rate of domestic lithium-ion batteries in Chinese brand electric vehicles has exceeded 90%. It is the different ideas of developing the battery industry between China and foreign countries, and China's battery industry continues to explore progress in practice. In 2013, the cost of a single kilowatt-hour battery pack was 2,500 to 3,000 yuan. The current market price is about 1500 yuan, the cost has dropped by nearly half, and it is also matched with 8 years or 300,000 kilometers of warranty commitment policy requirements. From this point of view, China's battery industry is on the way to strengthening.

China's battery share from the group to a few car companies in the hands of

At this stage, China's battery industry, whether in the proportion of global scale, or from the momentum of development, China's battery "big but not strong" conclusion has become a thing of the past. Moreover, from the perspective of the development scale of domestic battery production enterprises, the small enterprises of local governments in the past have gradually developed to centralized scale.