SHANGHAI, Mar 2 (SMM) - Recently Russia and Ukraine went to war which threw the world into concerns and uncertainties. Behind the contest of strength between the two sides, the landscape in different industries of the world has changed unconsciously.
NICKEL – one of the most important raw materials in new energy industry – may experience shocks in terms of supply
The United States and the European Union launched economic sanctions against Russia one after another starting from February 24. Russia, as a major global metal resource country, accounts for 49% of global nickel exports.
From the perspective of new energy power batteries, high nickel and low cobalt is an extremely obvious trend. NMC 811 or even ultra-high nickel lithium batteries have become the future development orientation of many power battery suppliers such as CATL. Nickel cannot be replaced for a short period of time in terms of improving energy density. If the supply of nickel metal in Russia is affected or even interrupted, the supply of power batteries will drop. The shortage of raw materials for power batteries will inevitably raise the costs, which will without doubt have an impact on the development of new energy vehicles.
CHIP is unable to stay impervious to the current geopolitical tensions
Chips have been a major factor that constrains the development of new energy vehicles. The current Russian-Ukrainian war has not only destroyed the Ukrainian military armed forces, but has also dealt a major blow to its industry. Ukraine produces 90% of the neon that supplies the United States. The supply of inert gas elements like neon, krypton and xenon that are essential for laser devices used in chip production, and the Russian-Ukrainian war will lead to a shortage in the supply of inert gases such as neon, which may exacerbate the chip shortage problem.
The supply of raw materials for battery has been impacted, while car chip supply encounters even more difficulties. Generally speaking, the development of new energy vehicles may be further restricted because of the current conflicts.
Although the war is very far from us which only brings a new story to the stock market and a twist to the new energy sector, war is cruel. Let us think of danger in peace and cherish peace.