On January 19, Yiwei LiNeng Jingmen cylindrical battery product line was expanded and put into production. After the company has been put into production, the annual production capacity of cylindrical batteries has been increased from 2.5GWh to 5GWhh, and the annual production capacity can reach 430 million units. Yiwei LiNeng said that with the formal commissioning of the expanded production line, it will effectively alleviate the situation that the market is in short supply and steadily increase its market share.
It is worth mentioning that the expansion project of Yiwei Li Neng Jingmen cylindrical battery product line started in August 2020, which took only 5 months to be completed and put into production, and effectively made use of the plant area for scientific planning to double the production capacity per unit area.
It is reported that Yiwei LiNeng's previous cylindrical ternary battery production capacity is mainly small capacity 18650 models, while the new project will also produce larger capacity 21700 model battery products, which can better achieve the matching requirements of high energy density than 18650 models.
According to industry organization data, with the development of technology and the continuous growth of new application scenarios, miniaturization, lightweight and cordless power tools have become a development trend. the global market for cordless power tools is expected to reach $19.35 billion (about 131.6 billion yuan) this year, and there will be 25-3 billion cylindrical cells in the world by 2025.
With strong R & D strength, advanced manufacturing technology and reliable product quality, Yiwei lithium cylindrical battery has won a large number of orders from global power tool head enterprises to serve the top five power tool brands in the world. In 2020, it is reported that Yiwei Lithium can ship about 24 million cylindrical cells of power tools per month, and there are still many orders that cannot be digested every month, which have been scheduled until 2021. With the commissioning of Jingmen project, it is expected to greatly alleviate the bottleneck of lithium cylindrical battery capacity and increase its shipments and international market share.
It is worth mentioning that the doubling of the production capacity of the Jingmen project will also provide support for Yiwei Lithium to further expand the electric bicycle market.
In April 2019, with the formal implementation of the new national standard "Safety Technical Specification for Electric bicycles", lithium batteries are gradually replacing lead-acid batteries. "lead to lithium" has become a new tuyere in the field of electric bicycles. Market data show that driven by the growth of downstream demand in 2019, the shipment of lithium batteries for electric bicycles in China was 5.45GWh, an increase of 61.5% over the same period last year. The market penetration of domestic lithium battery electric bicycles has increased to nearly 20%. The penetration rate of lithium bicycles is expected to rise to 70% in the next few years, and there is a huge demand for lithium batteries.
Yiwei Lithium can earlier turn its cylindrical ternary production line to electric bicycles, consumer batteries, garden tools, vacuum cleaners, power tools and other fast-growing market areas, at the same time, the company has also become the head enterprise of cylindrical batteries in China. As its cylinder capacity bottleneck is resolved, it is expected to begin a big foray into the electric bicycle market this year.
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