[SMM Weekly Review of ESS Battery Cell Market 7.3] ESS battery cell prices remain generally stable

This week, the ESS battery cell prices remained in a low and stagnant pattern, with no significant fluctuations observed in the price centers of 314Ah and 280Ah battery cells. The low-end quotes stabilized at 0.266 yuan/Wh and 0.272 yuan/Wh respectively (unchanged MoM). On the cost side, LFP materials saw a slight increase, but the transmission of battery cell prices was hindered: on one hand, top-tier enterprises diluted cost pressure through economies of scale; on the other hand, raw material inventory strategies hedged against short-term cost fluctuations, jointly suppressing the upside room for prices. In terms of supply and demand, the US tariff window period in June stimulated a rush to export, driving an increase in battery cell production. The 280Ah specification maintained demand resilience due to its high recognition in the European market. Meanwhile, the low-end quote for 100Ah small-capacity battery cells rose to 0.329 yuan/Wh, with battery cell demand driven by dual factors: in addition to overseas increments driven by subsidy policies for household ESS in Australia and Europe, the expansion of new distributed scenarios such as domestic base station backup power and parking energy further took over demand. Some producers' production schedules have been extended to August-September, with the structural tightness pattern continuing to intensify. Looking ahead, utility ESS battery cell prices are expected to remain stable, with short-term momentum from the rush to export supporting a further increase in battery cell production in July. The supply-demand pattern for battery cells is projected to remain tight.

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

Li Yisha 021-51666730