“In July 2015, Ganfeng Lithium completed the acquisition of 100% shares in Mbell Group, which indicates that the company will, relying on the advantage of raw material resources, formally move toward downstream industry and form the upstream-downstream integrated industry layout.
In July 2015, Beijing Easpring planned to cooperate with a large overseas company to develop NCA cathode material. This will help Beijing Easpring to improve its technology and production capability regarding high-end Li-ion battery cathode materials, and will facilitate Beijing Easpring to optimise and upgrade its Li-ion battery cathode material business.
In July 2015, Tianjiao Technology planned to construct an industrialisation base of NCM cathode material for power Li-ion battery in Lianyungang City, Jiangsu Province, so as to enlarge the proportion of its ternary material business and to expand the development of its power Li-ion battery business.
In July 2015, Ningbo Shanshan announced to establish an equity investment fund for the alternative energy vehicle business via its wholly-owned subsidiary, Shanpeng Investment, with a total investment of USD81.77 million (RMB500 million).
In late July 2015, the NEA announced that the construction planning for EV charging infrastructure was in progress, expected to be officially issued at the end of July or in early August.
In July 2015, BYD released its sales report of the main types of vehicle in June, of which the sales volume of alternative energy vehicle rose by 24.62% MoM, a 4th month for rising in a row. This provides support for the rumor in the industry that BYD is about to withdraw from the traditional vehicle business and to completely become a manufacturer of alternative energy vehicle. However, based on the status quo in domestic alternative energy vehicle market, CCM believes it is hard for BYD to develop itself by relying solely on alternative energy vehicle.
In late July 2015, Do-Fluoride announced that it had signed the Equity Transfer and Capital Increase Contract with Longgang Investment, Hebei Hongxing and the People’s Government of Xingtai County (Hebei Province) to officially put up a capital of USD26.17 million (RMB160 million) to control Hebei Hongxing, so as to push forward its complete layout from Li-ion battery to alternative energy vehicle.
In July 2015, Camel spent heavily constructing a power Li-ion battery project. As the alternative energy vehicle industry developed explosively, the demand for power Li-ion battery keeps increasing and the sales of lead acid battery business in Camel slided.
In July, the Chinese Materials Conference 2015 was held in Guiyang City, Guizhou Province, during which Li-ion battery was closely paid attention to. The strategic emerging Li-ion battery business in Guiyang City, has now formed an industry cluster.
In July 2015, Dynavolt began the construction of a Li-ion battery production project, which would strengthen and expand its Li-ion battery business. Meanwhile, it would lay the foundation for Dynavolt to barge into the alternative energy vehicle field and facilitate the establishment of a business system integrated with Li-ion battery and alternative energy vehicle.
In July 2015, CCM finds a “normal” in China’s Li-ion battery industry that enterprises are marching into the emerging downstream alternative energy vehicle industry and its related fields.
– Ganfeng Lithium, a giant player in lithium resources, officially stepped into the downstream Li-ion battery field through M&A, and planned to gradually cut in the supply chain of power Li-ion battery
– Beijing Easpring developed NCA cathode material business through strategic cooperation, to expand its business of cathode material for power Li-ion battery
– Ningbo Shanshan established an equity investment fund for alternative energy vehicle business in Shenzhen, to invest in related business and enterprises
This can be ascribed to the rapid development of the domestic alternative energy vehicle market. In H1 2015, the accumulative output increased by 200% YoY, and exceeded the full-year output in 2014.
Meanwhile, the Chinese government has been continuously promoting the use of alternative energy vehicle nationwide. For instance, in late July, the NEA disclosed that the planning and related guidelines for the construction of EV charging infrastructure would be officially issued at the end of July or in early August 2015.
CCM believes that the new policy will arouse the enthusiasm to construct charging piles in various regions and stimulate relevant enterprises to make business layout, so as to help solve problems like insufficient charging infrastructure and difficulty in charging, and further the popularisation of alternative energy vehicle, especially BEV.”
