[SMM Weekly Review of ESS Battery Cell Market] Project Delivery Sprint Period, Installation Rush Dividends Drive Growth

This week, the ESS battery cell market remains in the "project delivery rush period," with most orders being the concentrated fulfillment of orders that were rushed to take advantage of the policy window in the earlier period. The concentrated grid connection and fulfillment of projects have driven battery cell procurement to maintain a relatively high level of prosperity. It is expected that after mid-May, the benefits of the installation rush will gradually diminish. Currently, the overall price of ESS battery cells continues to maintain a stable trend, with the low-end transaction prices of mainstream 280Ah and 314Ah LFP ESS battery cells remaining at 0.275 yuan/Wh, although there are signs of loosening in some local quotes. In the domestic market, power grid-side and industrial and commercial ESS projects are advancing simultaneously. Overseas, under the backdrop of the US's extremely high tariffs, the export of ESS battery cells to the US is under short-term pressure. In the long term, the ESS market may face a price war, and some manufacturers' capacities may exit the market.

SMM New Energy Industry Research Department

Wang Cong 021-51666838

Ma Rui 021-51595780

Feng Disheng 021-51666714

Lv Yanlin 021-20707875

Zhou Zhicheng 021-51666711

Zhang Haohan 021-51666752

Wang Zihan 021-51666914

Wang Jie 021-51595902

Xu Yang 021-51666760

Chen Bolin 021-51666836

Yang Le 021-51595898