Chinese car maker BYD seeks to take back the Lithium-Ion battery crown from Contemporary Amperex Technology (CATL) over the next 24mths.
BYD is spending about $3 billion to nearly quadruple its capacity to produce electric car batteries by 2020, in an effort to catch up with leader CATL.
China’s Battery King, Mr Wang Chuanfu said on Wednesday “New-energy vehicles are an important strategic industry for China, and batteries form their heart,” at the opening of the company’s new $1.51 billion battery factory in Xining.
The new plant has an annual capacity of 24 gigawatt-hours of batteries — enough to power 1.2 million BYD electric vehicle hybrids.
BYD has also agreed to construct another $1.5Bn battery factory with a targeted annual capacity of about 20 gigawatt-hours.
The company’s two existing plants in Guangdong Province have a combined capacity of 16 gigawatt-hours, and the two new facilities will lift the total to 60 gigawatt-hours by 2020.
China currently produces 217.2GWhr of world production compared to USA 46.9 GWhr and Sth Korea 23.1GWhr.
Meanwhile, international prices of lithium carbonate have more than doubled over the past three years, and will keep climbing as growing demand continues as a result of Chinese policy makers to subsidise Electric Vehicles and restrict fossil fuelled vehicles.
As always, the supply of lithium remains the key concern. Everyone, wants “Low-cost, stable, high grade lithium” supply.
We must be ready that #TradeWars will only add gas to the fire. Control of $3B #Lithium Market gives #China the control of #disruption of $12T industries of #Energy and #Transportation. https://t.co/q80Uh0odYF #Tesla #Solar #BYD #CATL #Tianqi #Ganfeng $SQM $ALB $FMC $LIT @CNBC pic.twitter.com/Bb9lL9DV0I
— Kirill Klip, private account (@kirillklip) June 11, 2018
— CleanTechnica (@cleantechnica) June 28, 2018