Extreme Speed! After 100GWh, the Thunder expands its production of 100 million Wei Lithium and moves towards the "first camp".

Battery companies that do not want to enter the first camp are not best battery companies. After the large-scale expansion of production over 100GWh last month, the ambitious Yiwei LiNeng has made a big move again!

On July 22, Yiwei LiNeng issued an announcement that Yiwei Power, a subsidiary of the company, signed a "contract" with the management committee of Jingmen High-tech Zone. It is planned to invest about 2.45 billion yuan to build 3GWh cylindrical lithium iron phosphate battery production line, 0.7GWh cylindrical ternary lithium battery production line, 3GWh square lithium phosphate battery production line, 4GWh ternary square lithium ion battery production line and auxiliary facilities project and 1.5GWhternary square lithium ion battery production line and process testing institute project.

Prior to this, Yiwei LiNeng signed a strategic investment agreement with the Jingmen High-tech Zone Management Committee on June 10. The company and its subsidiaries plan to invest in the construction of a new energy power energy storage battery industrial park with an annual production capacity of 104.5GWh in Jingmen Kuidao District (including the completed capacity 11GWh, the capacity under construction 11GWh and the capacity 82.5GWh to be reinvested in stages), and introduce the supporting industry of lithium-ion power energy storage battery according to production demand.

In addition, in February this year, Yiwei Lithium Energy plans to invest no more than 1 billion yuan and 2.6 billion yuan respectively to build "passenger car Lithium Ion Power Battery Project (Phase I)" and "xHEV Battery system Project (Phase I)". Among them, passenger car lithium-ion power battery project (phase I) project content is square lithium iron phosphate cell and module; xHEV battery system project (phase I) project content is 12V and 48V battery system. In March, Yiwei Lithium Energy plans to invest no more than 3.9 billion yuan to build the "passenger car Lithium Ion Power Battery Project (Phase II)".

In fact, not only Yiwei lithium energy, including Ningde era, BYD, Funeng technology and other mainstream battery companies are also actively expanding production. Industry analysts believe that, to a certain extent, production capacity is an important factor affecting the future market share and industry competitiveness of enterprises, so the industry presents a new pattern of increasing capital and expanding production one after another, indicating that enterprises are seizing the commanding heights of future market competition.

01 battery order received soft

In the long run, large-scale production capacity is a necessary means to seize the commanding heights of market competition; in the short term, the expansion of battery enterprises is usually based on meeting the growing demand for orders.

So far, Yiwei lithium battery orders have been "soft". On July 13, Yiwei LiNeng announced that the company recently received a notice from Dongfeng Liuzhou Automobile Co., Ltd. on the selection of battery pack suppliers for the M6PHEV project to supply it with power battery assembly products, which use square ternary batteries.

It is reported that Yiwei Lithium Energy has previously signed long-term supply contracts with Daimler and Hyundai Kia, and the company's power battery supply will reach dozens of GWh in the next few years. In addition, Yiwei LiNeng also received an "olive branch" from BMW, Jaguar Land Rover and other top international car companies.

In July last year, Yiwei Power, a subsidiary of Yiwei LiNeng, received a fixed point letter from BMW brilliance, supporting products of square three yuan, becoming the second Chinese power battery manufacturer to enter the BMW supply chain after the Ningde era. Three months later, Yiwei LiNeng announced that the company had received a fixed point letter from BMW, Germany, and the name of the project was "BK 48V". In February this year, Yiwei Lithium Neng won the designated project of Jaguar Land Rover 48V battery system.

Open source securities said in the research report that Yiwei lithium soft pack battery downstream customers Daimler, Hyundai and Xiaopeng order demand is strong; square ternary battery BMW and Jaguar Land Rover 48V project fixed point; iron lithium battery capacity is expected to increase, jointly promote the high growth of power energy storage business in 2021. At the same time, in the field of consumer batteries, Yiwei lithium ternary cylindrical batteries have entered the TTI supply chain and domestic substitutions are in short supply. with the steady growth of TWS batteries in the industry, the demand for new applications downstream of lithium primary batteries continues to expand, helping consumer batteries to have a stable position.

02 strategic layout upstream materials

It is worth noting that in order to ensure the stable production of its own production line, Yiwei LiNeng is also actively moving upward in the layout of materials. On July 9, Yiwei Lithium can issue two announcements in succession. One is that the company plans to acquire 28.125% of the shares in Jinkunlun Lithium Industry by 140 million yuan, and will invest no more than 1.8 billion yuan in stages to build a project with an annual production capacity of 30, 000 tons of lithium carbonate and lithium hydroxide. The other is that the company plans to invest 110 million yuan to acquire a 5% stake in Dahua Chemical, which owns about 90 square kilometers of mining rights in Dachaidan Salt Lake, mining minerals including lake salt, lithium and other resources.

In May this year, Yiwei LiNeng set up a joint venture with Betteri and SKI to build a production line with an annual production capacity of 50, 000 tons of high-nickel ternary cathode materials. In addition, Yiwei LiNeng also signed a joint venture agreement with Yonghui Holdings and Huayou International to build a laterite nickel ore hydrometallurgical project in Indonesia. The project is designed to produce about 120000 tons of nickel and 15000 tons of cobalt per year.

Earlier, Yiwei LiNeng signed an agreement with German Nano in March this year to set up a joint venture company to focus on the production of low-cost and high-quality lithium iron phosphate, giving priority to supply to Yiwei Lithium Energy and its subsidiaries, with a total planned investment of 2 billion yuan and an annual production capacity of 100000 tons. In January this year, Yiwei Lithium spent 1.8 billion yuan to subscribe for Huayou Cobalt Dingzeng shares, aiming to lock in a stable supply of Huayou high-nickel ternary precursor materials and their raw materials and cobalt resources in advance.

03 enter the first camp in an all-round way

As one of the few omnipotent battery companies in the industry, Yiwei Lithium Power Battery covers a variety of technical routes, such as cylindrical ternary, soft package ternary, square ternary and so on, forming a product pattern of the whole series of power batteries, which is unique in the industry. In terms of power battery installation, Yiwei Lithium Energy has jumped from the eighth place in the Chinese market in the first half of 2020 to the sixth place in the first half of 2021.

Liu Jincheng, chairman of Yiwei Lithium Energy, said in an interview that 2021 will be a more "dominant" year for the company to develop in the power battery market. Soochow Securities believes that Yiwei Lithium will begin to expand production in an all-round way this year, with shipments exceeding 13GWhh this year, an increase of more than 160% over the same period last year, and revenue of more than 10 billion yuan. The increase of iron and lithium is significant in 2022, and the volume of square ternary batteries will be released in 2023. Future shipments are expected to continue to double and enter the first camp in an all-round way.