CATL: Battery Capacity to Exceed 670GWh by 2025

Published: May 6, 2022 11:02

Save

CATL recently disclosed the announcement of the prospectus for private placement, saying that the Company's current production capacity cannot meet the future market demand.

SHANGHAI, May 6 (SMM) - CATL recently disclosed the announcement of the prospectus for private placement, saying that the Company's current production capacity cannot meet the future market demand.

Following the release of this prospectus, the Company has announced several relevant battery capacity special construction base projects, with a total investment amount of no more than 65.5 billion yuan, which, assuming an investment intensity of around 300 million yuan/GWh, corresponds to a production capacity of approximately 218 GWh. At the same time, this investment project will add lithium-ion battery annual production capacity of approximately 135 GWh. The above combined new production capacity is approximately 353GWh, which is a 126.07% increase based on the current capacity of 280GWh.

According to the estimation, the Company's battery capacity is expected to reach more than 670GWh by 2025. Based on the future capacity demand and the existing capacity of the Company, the Company will have a capacity shortfall of no less than 390 GWh in 2025. In addition, it is estimated that the average gross profit margin for each year after the new capacity reaches optimal production is between 17% and 22%, and the internal rate of return is between 16% and 17%.

Market

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 to learn 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

6 hours ago

Beijing Launches 500-kV Power Project in Fengtai, Boosting Grid Resilience and Industrial Growth

On January 28th, the construction of the 500-kilovolt power transmission and transformation project in Fengtai, Beijing officially started. This project is the first newly-built 500-kilovolt power grid project in Beijing during the 15th Five-Year Plan period. It will significantly enhance the resilience and power receiving capacity of the southern Beijing power grid and provide reliable power support for Beijing to continuously optimize the investment structure and vigorously develop high-end, precise, and cutting-edge industries. The 500-kilovolt power transmission and transformation project in Fengtai, Beijing is a key project of Beijing's power grid during the 15th Five-Year Plan period and one of the "3 100" key projects in Beijing this year. It is constructed and managed by the State

6 hours ago

Shaanxi-Anhui UHV DC Project's 500-kV AC System at Hezhou Station Begins Operation After Trial Run

On February 1st, the 500-kilovolt AC system of the Hezhou Converter Station, the receiving-end station of the ±800-kilovolt UHV DC power transmission project from northern Shaanxi to Anhui, was officially put into operation after a 24-hour trial run.

6 hours ago

750-kV Power Line Connecting Northern to Central Shaanxi Fully Operational

On February 2nd, the 750-kilovolt power transmission and transformation project of the third passageway from northern Shaanxi to central Shaanxi was fully connected. The project starts from the 750-kilovolt Shuofang Substation in Shenmu City in the north and ends at the 750-kilovolt Bailuyuan Substation in Lantian County in the south. It has newly built a 1,271-kilometer line, passing through 18 counties (districts) in 4 cities including Yulin, Yan'an, Weinan and Xi'an.

6 hours ago