Recently, Jinan Natural Resources and Planning Bureau announced the design plan of Jinan Fudi Industrial Park construction project (Phase I), the construction unit is Jinan Fudi Battery Co., Ltd. (hereinafter referred to as "Jinan Fudi").

According to the park planning, the project is located in Xuzhai District of Jinan High-tech Zone, with a land area of about 40 hectares, the nature of the land is industrial, and the overall planning of the project is implemented in stages.

On August 24 this year, Jinan Fudi was registered in Jinan with a registered capital of 50 million yuan and 100% equity held by Fudi Industrial Co., Ltd., which is a wholly-owned subsidiary of BYD. From this we can see that Jinan Fudi is the "direct grandson company" of BYD.

According to the cooperation agreement signed between the Jinan government and BYD, the new energy power battery project has a capacity of about 30GWH and will be built in two phases, one of which is 15GWh.

Build a comprehensive industrial ecological highland

Guided by the strategy of "building Jinan intelligently" and implementing the strategy of "strengthening the city by industry", Jinan has actively laid out the new energy automobile industry, carried out active docking cooperation with leading enterprises in related fields, and issued a series of industrial support policies.

With regard to the omni-directional cooperation between the Jinan government and BYD in new energy power batteries, semiconductors and other fields this year, it can be seen that Jinan will make all-round efforts in the field of new energy vehicles. BYD will build a comprehensive ecological highland of the new energy industry in Jinan, covering power batteries, semiconductors, automobiles and other fields.

It is understood that in addition to the establishment of Jinan Fudi, Jinan BYD Semiconductor Co., Ltd. was also established on the same day (hereinafter referred to as "Jinan BYD Semiconductor"). The legal representative of the company is Chen Gang (currently general manager of the sixth Division of BYD). The registered capital is as high as 4.9 billion yuan, of which BYD Semiconductor Co., Ltd. holds 77.75%.

Coincidentally, there were media reports on the same day that BYD Semiconductor recently spent 5 billion yuan to buy a new fab in Jinan-Jinan Funeng Semiconductor.

Data show that Jinan Funeng Semiconductor, founded in November 2018, is an IDM company providing comprehensive solutions for power semiconductors, with a registered capital of 200 million yuan. According to the official website, Jinan Funeng Semiconductor currently has an 8-inch Si fab and a 6-inch SiC fab, and plans to set up a 12-inch wafer production plant in the future.

According to the cooperation agreement signed between Jinan government and BYD Co., Ltd., BYD Semiconductor will give full play to the advantages of the whole industry chain IDM model from power semiconductor chip design, wafer manufacturing, module packaging and testing to system-level application testing, and jointly set up a joint venture with Jinan to promote relevant semiconductor projects to achieve greater breakthroughs.

Thus it can be seen that the news of the acquisition of Jinan Funeng Semiconductor is not completely groundless, of course, the final result depends on the response of BYD.

At present, the global new energy vehicle industry is facing the dilemma of lack of cores. Many car companies have issued notices to reduce and stop production many times this year, and the state has paid more and more attention to the core technology of automobile chips. BYD Semiconductor, as a domestic independent and controllable IGBT leading manufacturer, has certain first-mover advantages in technology accumulation, talent reserve and product market application. The establishment of Jinan BYD Semiconductor may undertake the mission of starting a new round of semiconductor innovation and R & D battle.

In addition, one month after the establishment of the above two companies, Jinan BYD Automobile Co., Ltd. was officially established with a registered capital of 1 billion yuan, which is wholly owned by BYD Automotive Industry Co., Ltd.

Within two months, three companies have been set up successively, covering power batteries, semiconductors, new energy vehicles, and other areas, which not only means that the Jinan government has reached a deep strategic cooperation with BYD, but also shows that BYD's layout logic is a collection of three elements: matching, comprehensiveness and industrial nature.

Deploy nine battery production bases

At present, BYD has 8 major production bases in Shenzhen Baolong, Huizhou Kengzi, Xi'an Hi-tech, Xining in Qinghai, Guiyang in Guizhou, Bishan in Chongqing, Ningxiang in Changsha, and Bengbu in Anhui Province. Together with Jinan, BYD has built or planned to build 9 production bases, involving nine provinces, cities and regions. In addition, it has also established a joint venture with Changan Automobile to establish 10GWh production capacity, with a total production capacity of 205GWh.

BYD's production capacity reached 65GWH at the end of last year and is expected to reach 91GWh by the end of this year.

Earlier, on July 14, the official website of the Changchun municipal government announced that the Changchun municipal government, China FAW Group and BYD had jointly signed a cooperation agreement on investment in new energy power battery projects. However, the specific information of the project and the intensity of investment have not been disclosed.

However, in May this year, it was reported that BYD would invest 10 billion yuan in the project to be located on both sides of the river in Xinkai, Changchun International Automobile City.

It is reported that the order of Fudi battery from FAW Red Flag, BYD's power battery subsidiary, has been shipped. Some analysts pointed out that BYD in Changchun 10 billion to build a power battery base, or supporting FAW new energy models.

If BYD Changchun new energy power battery project is officially finalized, it means that the production base of BYD's Fudi battery needs to be added to Changchun production base, bringing the total to 10.

In addition, BYD set up two battery companies in August. They are Wuwei Fudi Battery Co., Ltd. (hereinafter referred to as "Wuwei Fudi") which was established on August 3 and Yancheng Fudi Battery Co., Ltd., which was established on August 6.

Among them, Wuwei Fudi was established at a time when the new energy vehicle high-end core parts project of Hefei BYD Automobile Co., Ltd. was completed for the record, the market believes that Wuwei Fudi battery factory is likely to provide power battery matching for Hefei BYD automobile base.

At this point, the total number of BYD power battery production bases may be raised to 11 in the future.

Accelerate external supply

The total battery capacity under construction and planning is sufficient for BYD's own use and external supply.

Data from the China Automotive Power Battery Industry Innovation Alliance show that from January to September this year, BYD ranked second in the domestic power battery loading list, accounting for 14.73 GWH, accounting for 16%. From this point of view, BYD battery utilization is not high enough, there is a risk of overcapacity.

On the other hand, BYD needs to speed up the pace of external supply. At present, only FAW Red Flag and domestic Ford Mustang Mach-E; have identified Toyota as the partner for the external supply of batteries. it was previously reported that BYD will produce electric vehicles for Toyota, which will be completed independently by BYD in terms of underlying technology, electronic control systems, motors and batteries, and then handed over to Toyota for acceptance.

It is rumored that the partners include Tesla, Hyundai Motor, Mercedes-Benz and so on. Among them, with regard to the external supply of blade batteries for Tesla, it was previously reported that BYD would supply "blade batteries" to Tesla in the second quarter of next year. At present, the Tesla model with "blade battery" has entered the C-sample testing stage.

In response, BYD said: never told the media that the blade battery would be supplied to Tesla, nor did it say that the blade battery would be used in Model Y.

There is a view that "not expressed to the media" does not mean that the blade battery is outside the Tesla battery supplier. For Tesla, in order to ensure the safety of the supply chain, lithium iron phosphate batteries from only one supplier are generally not used.

It is worth noting that recently, there have been industry media reports once again that Tesla's models will use BYD's batteries next year. If the news is true, it means that BYD's road to external battery supply will make great progress. We will wait and see what the result will be!