Battery tech, page-3

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1	Focus on domestic battery technology development in middle battery business  Half of the top 10 shipments are due to mid-cap government support and domestic demand.  SK Innovation rushes to mass production of new products Hyosung reporter Approval 2018.04.05 17:0

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1	Column 1 Chinese battery companies, which have supported the Chinese government, are booming.  The photo shows the LG Chem Ochang factory electric car battery production line (not related to the specific content of the article).  Photo = provided by LG Chem.

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The reason why the battery war between Korea and China is heating up is because Chinese battery companies are supporting the full support of the Chinese government and rapidly growing the domestic market. In terms of global battery shipments in January ~ February this year, Chinese battery makers ranked strong in the top 10.

Five of the 10 companies were Chinese companies.According to SNE Research, a battery market research company, "As the trend continues for the time being, Chinese and Korean companies are expected to compete intensely."According to industry sources on May 5, three domestic battery makers are concentrating on strengthening their competitiveness in the face of such a stalemate in China.

In terms of technological competitiveness, SK Innovation and LG Chem are planning to ramp up production of NCM 811 battery, which can increase the mileage by 100km compared to existing NCM622 (nickel, cobalt, manganese ratio 6 2 2).

Samsung SDI also demonstrated its distinctive technological competitiveness by exhibiting a large number of high-capacity, fast-filling innovative materials and cutting-edge products at the 2018 Detroit Motor Show (NAIAS 2018) held earlier this year. Production capacity is also greatly expanded.

LG Chem is expected to increase its capacity by 80 ~ 90% YoY this year in order to expand capacity ahead of orders received.  Samsung SDI, which invested KRW 1 trillion in investment for the entire facility including electric cars last year, will invest more in order to increase production this year.  SK Innovation plans to expand its battery production capacity of 1.2GWh to 4.7GWh this year.

In the meantime, the Chinese government has been actively supported by Chinese battery companies.  A typical example is the discriminatory grant policy.Since the end of 2016, the Chinese government has not provided subsidies for electric cars with Korean batteries.  Because of this, the Korean battery industry has blocked the sales channel in China.

The industry interprets this as 'time-making' to reduce the disparity between Korean and intermediate batteries. The problem is China 's enormous electric car market.  China has a market share of over 50% in the global plug-in hybrid car (PHEV) market.

As a result, Chinese battery makers have been ranked high in shipments, which is also attributed to their ability to dominate the domestic market with overseas battery regulations.If LG Chem and Samsung SDI batteries can not receive subsidies from China, some makers will use Chinese batteries.

In fact, Hyundai Motor, which has been using LG Chem's battery in its electric car all over the place, has replaced its battery, which is to be installed in the new strategic model "Avantel HD (EV) Unlike HEVs or PHEVs, EV subsidies are almost half the price of a car.

If the subsidy is not received, it means that it is virtually impossible to sell in China, the largest electric car market in the world. Recently, Volkswagen selected CATL with LG Chem and Samsung SDI as battery suppliers for its electric vehicle project.

In particular, CATL in China is expected to expand its production capacity and actively pursue overseas markets such as Europe.  An industry representative said, "CATL is considered to have a considerable level of technology," he said. "It will be a strong competitor to Korean companies in the global market."[/table]