Tesla Or LG Chem In Hand, It Is Difficult For Panasonic To Continue To Specialize

- Oct 29, 2019-

With the growth of the electric vehicle market, it is increasingly difficult for a power battery company to meet the diversified needs of new energy vehicle companies. More and more unbreakable alliances have begun to change. Tesla's long-term reliance on Panasonic's supply of power batteries will be broken.

Recently, according to foreign media reports, after Tesla agreed to purchase batteries from LG Chem, LG Chem will mass produce the 21700 cylindrical lithium-ion battery of Tesla Model 3 at its first plant in Xingang Development Zone, Nanjing, China. And supply to the upcoming Tesla Shanghai plant.

According to the above report, LG Chem will supply Tesla with a battery that is NCM 811, and this is the first time that LG Chem has supplied the ratio to a passenger electric vehicle. For the reason why the NCM 811 is used in the power battery, the industry said that the current factory in Shanghai mainly produces the Model 3 of the popular model, and the high energy density of the NCM 811 can maximize the cruising range of this model. Sla hopes to prove to Chinese consumers that the locally produced Model 3 can meet the industry's leading range of cruising range.

Compared with the mainstream power battery in the industry, the NCM 811 battery is characterized by a nickel metal ratio of 80% or more, and a cobalt content of about 10%, which will effectively ensure energy density and cost. The huge advantage has attracted many global battery giants including LG Chem, SK Innovation and Ningde Times to compete for research and development. However, due to the unstable nature of metals, this type of battery was mainly used in commercial vehicles such as public transportation.

The reporter asked the LG chemistry for the above information, and the other party said that "there is no information that can be disclosed to the public." However, another Korean power battery industry official who asked for anonymity told the First Financial Reporter that Tesla's Shanghai factory has chosen LG Chemical's battery as a "established fact" and said that the order made LG's internal determination to increase. The decision of the capacity of the Chinese factory.

At the same time, the reporter also learned from LG Chem insiders that in the context of the new plant in Xingang, the second plant in Nanjing Binjiang Development Zone (LG Chemical Binjiang New Energy Technology Co., Ltd.) is working on recruiting engineers in China. Core production positions such as operators and technical administrators, with a recruitment scale of more than 100 people. The estimated annual output value of the plant will reach 10 billion US dollars, exceeding the total output value of the first plant. An internal document obtained by internal financial reporters from insiders shows that in order to attract outstanding talents, a recommendation reward mechanism is introduced for the employees of the company. If the recommended job seekers are successful, the recommender can get a cash reward of 2,000 yuan.

It is worth noting that Tesla chose LG Chem's battery, which means that more car companies are expanding their battery supply channels.

Tesla has been working with Panasonic to operate a lithium battery plant in Nevada. There are various signs that there are some problems or differences in the cooperation between the two companies. Today, the capacity of the Nevada lithium battery factory has not reached the planned level, and Tesla CEO Musk said on the social networking site that the production of the Model 3 car was affected because of Panasonic's production capacity. In addition, some foreign media reported that Tesla is negotiating battery supply matters with Ningde era, but as of press time, neither party has confirmed the above information. In the face of Tesla's "change of mind", Panasonic said that "Panasonic and Tesla can also jointly produce batteries in China", on the other hand, they are also seeking cooperation with companies such as Toyota to provide models for Corolla and Ralink. Power Battery.

In addition, there have been reports that Audi is in talks with BYD about battery supply, and the current negotiation on the two sides has entered a "critical phase", and industry insiders have analyzed that the biggest reason for the cooperation between the two parties is the motivation of LG Chem. The battery is not available. Earlier, Audi said that the global production plan for the 2019 e-tron SUV will be reduced from 55,830 to 45,242.

In addition, in the face of the demand of the Chinese market, the expansion of foreign-powered power batteries will also provide more options for potential OEM customers. For example, LG Chem previously announced that it will jointly establish a joint venture with Geely Automobile to produce and supply power batteries. SK Innovation is also seeking the possibility of cooperating with Evergrande Group, a new power company, under the leadership of a Korean power battery company. The report released by the think tank predicts that with the accelerated investment of Korean companies, in 2025, Korean head enterprises will occupy 10-15% of China's power battery market share.

Zhang Qiang, an auto industry analyst, believes that in the current power battery market, “he and the points” are being presented at the same time. On the one hand, there are more tightly bundled car companies and power battery companies, but on the other hand, there are many The unbreakable "alliance" is changing. This is mainly due to the emergence of two different market trends: the improvement of consumer demand level, the demand for technology level and cost control is also gradually increasing, resulting in more vehicle companies can only be bundled with battery companies, Reducing the cost of R&D and production; and affected by the limited capacity of power batteries, these capacity can not meet the fast-growing power battery companies and competition will effectively reduce the purchase cost of batteries.

Yu Qingjiao, secretary-general of Zhongguancun New Battery Technology Innovation Alliance, told reporters that with the cancellation of subsidies in the domestic new energy vehicle market in 2021, the power battery industry will face further reshuffle, and the competition around the competition for vehicle customers will become more intense.