(1) Strong support for national policy

  With the dual-carbon target in the global consensus has been reached, the main countries and regions have formulated to encourage the development of new energy-related policies, China has also introduced a number of industrial policies to promote the healthy development of new energy vehicles and lithium battery industry, to guide the industrial transformation and upgrading, and vigorously cultivate strategic emerging industries, new energy automobile industry carries China's automobile industry to realize the "curved road to overtake" important mission. The new energy automobile industry carries the important mission of China's automobile industry to realize "overtaking on the curved road".

  In 2020, the State Council issued the "new energy automobile industry development plan (2021-2035)", a clear effort to strive after 15 years of sustained efforts to make China's new energy automobile core technology to reach the international advanced level, the brand has a strong international competitiveness. On the basis of national policy support, the local lithium battery industry for different preferential policies and subsidies, China's new energy automobile industry has established from research and development, production, purchase, use to infrastructure and other aspects of the more comprehensive policy support system, which contributes to new energy vehicles, lithium batteries, and upstream parts and components for the further development of the industry.

(2) Improved environmental requirements to accelerate the development of the industry

With the rapid development of China's economy and rising car ownership, environmental pollution is becoming increasingly prominent, people's demand for new clean energy is also increasingly urgent. The environmental problems brought about by emissions from traditional fuel vehicles have directly enhanced people's desire for the application of new energy sources.

 China's automobile industry energy conservation and emission reduction of self-consciousness is further strengthened, automobile emission reduction has become the direction of the industry's efforts, through technological innovation, industrial transformation, new energy development and other means, the development of low-pollution, low-emission-based new energy automobile industry, is an important way to achieve sustainable economic development. In terms of market demand for lithium batteries, the field of power batteries for new energy vehicles is undoubtedly a growth point with great potential.

(3) Downstream lithium battery market growth potential

Dual-carbon goals to accelerate the global electrification transition and energy reform, "electrification + intelligent" innovative applications are more and more scenarios for penetration, lithium battery industry ushered in better development opportunities. New energy vehicles, energy storage, digital electronics and other products market demand continues to grow, related technologies continue to mature, consumer attitudes and other factors, will promote the lithium battery industry in the next 3-5 years to grow into a trillion-dollar market, which creates a huge market space for lithium battery industry chain enterprises, lithium battery industry will meet the arrival of TWh era. According to GGII forecast, the global lithium battery market shipment is expected to reach 1,165GWh in 2025, and the domestic lithium battery shipment will reach 611GWh. Therefore, the future growth potential of lithium battery market is favorable for the development of lithium battery industry chain enterprises.

(4) China's rapidly improving position in the global lithium battery industry

 China's new energy market prospects, upstream and downstream industry supporting the continuous improvement, at the same time in the support of the national subsidy policy, China's lithium power battery companies in the global market, the competitiveness of the growing market share of rapid growth for the development of advanced precision structural components supporting enterprises to create the conditions.

   LG New Energy, Panasonic, Samsung SDI and other international lithium battery giants have set up subsidiaries in China, including R & D centers, manufacturing departments, etc., and the proportion of lithium battery materials localization is gradually increasing. Domestic lithium battery companies have also stepped out one after another to participate in the global market competition, building factories overseas, lithium battery materials companies have accelerated the globalization of supporting. In the case of stable market demand and strong technical reserves, China's lithium battery precision structural components enterprises are facing good development opportunities.

Last Article：Munich Shanghai 2021 Concludes Successfully

Next Article：New Energy Vehicle Lithium Battery Precision Structural Parts Industry