[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

Save

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.

Cobalt lithium cars batteries

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

9 hours ago

[SMM Chromium Flash] Samancor's Collapsed Dikwena Chrome Tailings Dam Was Never Registered, Probe Finds

A government investigation into the August 13 collapse of a tailings storage facility at Samancor's Dikwena Chrome complex near Brits, North West, has found the facility was showing persistent seepages prior to the failure and that the collapse was reasonably foreseeable based on available evidence, according to a Notice of Orders issued by the Department of Mineral and Petroleum Resources and reported by Daily Maverick. The department's findings also indicate the facility appears not to have been registered with the Department of Water and Sanitation, raising questions about compliance oversight at the site before the incident occurred. The facility, known as the Inyoni tailings storage facility, forms part of Samancor's Dikwena chrome plant complex and is operated by contractor One Chrome, a company reported to have no public website. The collapse sent slurry into the neighboring Eland mine, owned by Northam Platinum, which briefly closed an access road as a precaution. Updated reporting indicates one injury was recorded alongside no fatalities. Samancor Chrome itself is unlisted and is no longer a member of the Minerals Council South Africa, a body whose members commit to industry safety and governance standards. The findings add a regulatory compliance dimension to a case that had previously centered on the physical and environmental impact of the failure. South Africa's tailings storage facility guidelines date back to 1998 and are currently under revision, and at least one senior mining executive has said they were unaware of any operation that actually follows them, pointing to a broader industry gap in registration and compliance practices beyond this single incident. The scope of enforcement action beyond the Notice of Orders, along with the full extent of environmental damage and rehabilitation costs, has not yet been disclosed.

9 hours ago

[SMM Chromium Flash] Zimbabwe Pitches Chrome Smelting Investment Opportunities to Australian Miners in Perth

Zimbabwe's Deputy Minister of Mines and Mining Development, Dr. Eng. C. Makwiranzou, presented chrome among a slate of commodity-specific investment opportunities at the Zimbabwe Mining Investment Seminar, held during the Africa Down Under 2026 conference in Perth. Rather than a general appeal for capital, Makwiranzou detailed opportunities across lithium, platinum group metals, chrome, gold, iron and steel, and coal, positioning the pitch as a targeted approach to Australian mining investors specifically. On chrome, Makwiranzou pointed to Zimbabwe's regional beneficiation hubs policy, under which chrome-producing areas are earmarked to specialise in ferrochrome and chromium alloy production, describing the framework as "industrial policy with a map attached." He identified patient capital, funding with a long-term investment horizon suited to the extended payback periods typical of smelting and refining infrastructure, as the critical ingredient Zimbabwe needs from prospective investors to realise its beneficiation ambitions. The chrome pitch was delivered alongside a broader downstream-processing narrative: Makwiranzou also flagged a gap in downstream processing within Zimbabwe's platinum group metals sector, where existing operations including Zimplats, Mimosa, Unki and Karo have created scope for further exploration along the Great Dyke's under-explored margins. Taken together, the presentation signals Zimbabwe is actively marketing its beneficiation policy abroad rather than relying solely on domestic and Chinese investment to build out chrome smelting capacity, a shift worth tracking for what it might mean for the pool of investors ultimately financing the country's ferrochrome ambitions.

9 hours ago

11 hours ago

[SMM Analysis] South Africa's Ferrochrome Exports Slide in July as China Pulls Back and Japan Steps In

11 hours ago