In September, the production of power batteries was 64.0 GWh, down 6% MoM, but up 0.1% YoY. Some battery cell companies continued to slowly ramp up their production capacity last month, and the industry's total production capacity slightly increased. However, due to weak overseas demand for power batteries, while the domestic market maintained small growth, this year's traditional peak sales season in September and October fell short of expectations. Most automakers' delivery speeds were stable with little incremental increase, and some automakers' demand was slightly delayed due to the expectation of a decrease in battery price caused by the continuous decline of upstream lithium salt prices. At the same time, downstream automakers had a strong wait-and-see attitude due to the continuous decline of lithium salt prices and the loose supply pattern of battery cells. They were slow to take delivery, and some battery cell factories lowered their production levels to avoid price risks, mainly shipping their battery cell finished products inventory, leading to an overall decrease in production.
Entering October, the NEV market is expected to continue its small increase trend. However, most battery cell companies are still implementing destocking strategies, and the power battery cell output in October is expected to continue to decline. The predicted production of power batteries in October is 59.9 GWh, down 6% MoM and down 14% YoY.
