[SMM Analysis] it will take time for overseas new energy vehicle plants to gradually resume production and recover terminal demand.

Published: May 10, 2020 23:16

SMM, 10 May:

LG Chemical won the first place with 27.1 per cent market share in the first quarter of 2020, beating the powerful Ningde era and Panasonic, according to a new report by SNE Research, a South Korean market research firm. LG's market share more than doubled from the same period in 2019 to second place Panasonic (25.7 per cent), while Ningde, the defending champion of the year, came in third with 17.4 per cent, down from 23.4 per cent in the same period in 2019, the report said.

According to SMM research, due to the impact of the epidemic, the operating rate of domestic battery enterprises was low in the first quarter, but since then, due to no obvious improvement in terminal demand, the operating rate of battery factories has not improved; in addition, the overseas epidemic began to spread in the middle and late March, leading battery enterprises export orders were affected, and the power battery market was still in a depressed state in the second quarter.

At present, among the battery enterprises, the demand of LG industry chain is relatively stable, mainly relying on the full production of Tesla Shanghai factory.

In addition, BYD has focused on promoting lithium iron phosphate batteries this year, and its Chongqing plant has been in full production, driving demand for some lithium iron phosphate materials.

In late March, nearly 20 overseas automakers, including Volkswagen, BMW, Toyota, Daimler, Fiat Chrysler, Peugeot Citroen, GM and Ford, have closed or plan to close more than 100 factories. According to relevant statistics, new energy plants, including Volkswagen, Audi, Porsche and Volvo, basically resumed work on April 20, while BMW's new energy plant in Leipzig, Germany, will resume work after May 18. At present, the epidemic has had an impact on the production of new energy vehicles for at least two months, and demand has to wait for the epidemic to be brought under control. European new energy vehicle sales data in April show that, with the exception of Germany, which still shows strong year-on-year growth, year-on-year sales in other countries have declined significantly, including countries severely affected by the epidemic, such as Spain and Italy, where new energy vehicles have dropped by more than 100% year-on-year.

Data Source Statement: Except for publicly available information, all other data are processed by SMM based on publicly available information, market communication, and relying on SMM's internal database model. They are for reference only and do not constitute decision-making recommendations.

For any inquiries or for more information, please contact: lemonzhao@smm.cn
For more information on how to access our research reports, please contact:service.en@smm.cn
Related News
Xiamen Tungsten’s Subsidiary Luoyang Yulu Mining Fully Suspends Production
9 hours ago
Xiamen Tungsten’s Subsidiary Luoyang Yulu Mining Fully Suspends Production
Read More
Xiamen Tungsten’s Subsidiary Luoyang Yulu Mining Fully Suspends Production
Xiamen Tungsten’s Subsidiary Luoyang Yulu Mining Fully Suspends Production
[Tungsten Flash] SMM July 1 News: Xiamen Tungsten announced that its 60%-owned subsidiary Luoyang Yulu Mining has completely halted production. The enterprise relies on CMOC’s molybdenum beneficiation tailings to extract scheelite concentrates. Now, due to CMOC suspending tailings delivery, it has no raw materials for production, and the timing for production resumptions is undetermined. According to the announcement, Luoyang Yulu’s production and sales of scheelite concentrates (WO3 metal content) in 2025 were 1,924 mt and 1,614 mt, respectively, and in H1 2026, production and sales were 685 mt and 669 mt, respectively. This production halt is expected to have some impact on the company’s near-term operating performance. As it is currently impossible to determine how long Luoyang Yulu’s suspension will last, the impact on the company’s performance cannot be predicted at this time. Specific circumstances will be subject to the company’s audited financial reports.
9 hours ago
July 1 Tungsten Market Weak Consolidation, Tungsten Concentrate Prices Lowered
11 hours ago
July 1 Tungsten Market Weak Consolidation, Tungsten Concentrate Prices Lowered
Read More
July 1 Tungsten Market Weak Consolidation, Tungsten Concentrate Prices Lowered
July 1 Tungsten Market Weak Consolidation, Tungsten Concentrate Prices Lowered
[Tungsten Flash] SMM, July 1: The tungsten market mainly saw weak consolidation today. Trading volume at the mine side contracted, downstream smelters had few orders, and with inventories at high levels, enterprises mostly purchased tungsten concentrates and recycled raw materials as needed. Some traders mainly pushed for lower prices. The negotiation center for spot orders of 55% tungsten concentrates was around 440,000-460,000 yuan per standard tonne. SMM 65% tungsten concentrates closed at 491,000 yuan per standard tonne today, down 10,000 yuan per standard tonne from yesterday, but still up 56,500 yuan per standard tonne from early June. Going forward, key focus will be on mine tender transactions and the new round of long-term contract information.
11 hours ago
Sponge Titanium Prices Drop 2% in July, Production Up 11.04% Year-on-Year
11 hours ago
Sponge Titanium Prices Drop 2% in July, Production Up 11.04% Year-on-Year
Read More
Sponge Titanium Prices Drop 2% in July, Production Up 11.04% Year-on-Year
Sponge Titanium Prices Drop 2% in July, Production Up 11.04% Year-on-Year
[SMM Titanium Express] As of July 1, SMM Grade 0 sponge titanium prices were quoted at RMB 48,000-49,000/ton, down 2% from early June. June sponge titanium production stood at approximately 25,700 tons, up 11.04% year-on-year on a cumulative basis. May exports reached 745 tons, down 7.52% year-on-year cumulatively.
11 hours ago
[SMM Analysis] it will take time for overseas new energy vehicle plants to gradually resume production and recover terminal demand. - Shanghai Metals Market (SMM)