The future 80 billion market: power battery Pack+BMS

　　The scale of power batteries used in electric vehicles globally in 2017 was 69.0GWh, which is the sector with the largest increase in the three sectors of consumer electronics, power, and energy storage. GGII predicts that by 2022, the global demand for lithium batteries for electric vehicles will exceed 325GWh, an increase of 3.7 times compared to 2017.

　　The scale of power batteries used in electric vehicles globally in 2017 was 69.0GWh, which is the sector with the largest increase in the three sectors of consumer electronics, power, and energy storage. GGII predicts that by 2022, the global demand for lithium batteries for electric vehicles will exceed 325GWh, an increase of 3.7 times compared to 2017.

　　2012-2022 global power battery demand analysis (GWh)

　　2012-2022 global power battery demand analysis (GWh)

　　Source: Compiled by Qianzhan Industry Research Institute

　　China's power battery market

　　China's new energy vehicle market

　　In 2017, China's new energy vehicle sales volume was 777,000, a year-on-year increase of 53.25%, ranking it as the world's largest new energy vehicle production and sales market for three consecutive years.

　　2011-2017 China's new energy vehicle sales (units)

　　2011-2017 China's new energy vehicle sales (units)

　　Source: Compiled by Qianzhan Industry Research Institute

　　In recent years, with the vigorous promotion and application of new energy vehicles, the power battery market has also developed rapidly. According to the "Power Battery PACK Industry Development Prospect Forecast and Investment Strategic Planning Analysis Report" released by the Qianzhan Industry Research Institute, China's power battery demand reached 28GWh in 2016, the effective production capacity of the entire industry was about 56Gwh, and the capacity utilization rate was about 50%. In 2017 The demand for power batteries in China has reached about 31.3GWh. By 2018, China's power battery demand will exceed 50GWh. It is estimated that by 2020, the demand for power batteries in China will exceed 90GWh.

　　China's power battery demand from 2016 to 2020

　　China's power battery demand from 2016 to 2020

　　Source: Compiled by Qianzhan Industry Research Institute

　　Power battery is the fastest growing field of lithium battery applications

　　From 2015 to 2025, electric vehicles will replace electronic products and become the main growth force of global lithium batteries. In recent years, under the encouragement and subsidies of industrial policies, the new energy vehicle market has continued to expand rapidly, driving the demand for power lithium batteries soaring. It is estimated that the global demand for lithium-ion batteries in 2020 will reach 124GWh, of which the demand for automotive lithium batteries will be 39GWh, accounting for 31%. The market size of automotive lithium-ion battery packs is expected to increase from USD 2.5 billion in 2011 to USD 14 billion in 2020, with a compound growth rate of 22%. Avicenne Energy predicts that from 2015 to 2025, there will be three areas with the fastest growth in lithium battery shipments: China's electric vehicle market (CAGR24%), electric vehicle market outside China (CAGR16%), and industry (CAGR16%).

　　In 2017, China's automobile power lithium battery output was 44.5GWh, a year-on-year increase of 44.5%. With the gradual implementation of national policies, as well as future improvements in lithium battery production technology, lower costs, and increased popularity of new energy vehicles and supporting facilities, the demand for power batteries for new energy vehicles will continue to grow in the next three years. The Institute of Foresight Industry expects By 2022, China's automobile power lithium battery production will reach 215GWh, an increase of 3.8 times compared with 2017.

　　2012-2022 China's new energy vehicle power battery production (GWh)

　　2012-2022 China's new energy vehicle power battery production (GWh)

　　Source: Compiled by Qianzhan Industry Research Institute

　　Power battery Pack+BMS market space 80 billion

　　The industrialization of electric vehicles is restricted by the performance and cost of the core component power battery. The battery power system cost of HEV is about 3,500 euros, while the unit price of P-HEV and EV power system is about 10,000 euros10. From the perspective of cost splitting, about 50% of the cost of PHEV and EV power lies in batteries, power electronics and pack manufacturing each account for about 20%, and BMS and thermal management systems together account for 10%.

　　Power battery manufacturers have both Pack+BMS business, and professional third-party BMS companies are still the mainstream

　　my country's power battery PACK and BMS manufacturers are mainly divided into three categories: battery companies, vehicle manufacturers, and third-party professional PACK and BMS companies; business models are also divided into three categories: both PACK and BMS, only PACK, and only production BMS.

　　Among the main suppliers of power batteries in 2016, BYD auto companies arranged for complete vehicle power battery modules, and battery companies such as Ningde Times, Guoxuan High-tech, and Waterma also do Pack and BMS. China Battery Network (2017.03) stated that professional third-party BMS companies in the power battery field have advantages in technology accumulation. At present, professional third-party BMS companies are still the mainstream of the market, accounting for about 42%.

　　In recent years, benefiting from the promotion of national industrial policies, the power battery industry has developed rapidly. With the implementation of the new points policy, the influence of factors such as the improvement of lithium battery production technology, the reduction of manufacturing costs, and the popularization of charging facilities will further deepen, the lithium ion power battery industry will continue to maintain rapid development, and the degree of marketization will gradually increase.