New Energy Vehicles (NEVs) in China
- Thread starter supercat
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supercat
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I'm wondering if these events are related.
CALB is actually the 7th Chinese battery maker to build a plant in Europe.
Battery swap still has a future, especially for heavy commercial vehicles such as trucks. China's standards for heavy truck battery swap station is evolving quickly.
CALB is actually the 7th Chinese battery maker to build a plant in Europe.
Battery swap still has a future, especially for heavy commercial vehicles such as trucks. China's standards for heavy truck battery swap station is evolving quickly.
My impression was that most of the startups actually don't have any issues with demand. Just like when Tesla was a startup, they are selling as many cars as they can make, but their ability to mass produce is not there yet.
So the perfect solution would be for them to do joint ventures with the state owned giants who have the production capacity. Nio and Xpeng are both using some contract manufacturing. Eventually, the startups should acquire the state owned brands. But consolidation of all the innovative startups would be very damaging, China should have at least as many major car brands as all G7 nations have together
That's true. A lot of the startups have more brand presence than decade old state-owned brands.
But there isn't much value for the startups to do joint ventures with these uncompetitive old SOEs. They should simply buy their factories. The factory usage of weak SOEs will get even worse. Not only are their domestic brands like Fengshen, Roewe, Wuling, Baojun, Chery, Exeed, Jetour, Beijing, Changhe all terrible, but now their joint ventures with Nissan, Honda, Toyota, VW, GM are all coming under attack by BYD. Dongfeng-Honda for example has seen massive drops, meaning SOEs now have a lot of excess factories. Startups can pick these up for cheap rather than building new factories.
My opinion: SOEs should divest all their weak brands into 1 new standalone SOE in order to combine all their domestic tech. The best example would be the three companies located on the Yangtze (Dongfeng, Chery, SAIC). Create a new holding company located in the middle (Nanjing maybe) and consolidate into maybe 2 brands (Chery for low end, MG for high end). The new company can pick and choose the best styling and technology from all the old different brands. It would also immediately become a company with global presence, unlike currently where Dongfeng, Chery, SAIC are all scattered across a handful of countries each.
Then the old SOEs will become purely joint-venture based companies, piggybacking off their joint ventures to make money. Everybody wins, the new consolidated SOE can become a competitive global player, the EV startups can get factories for cheap, the old SOEs become leaner companies concentrating on joint ventures without bleeding cash from uncompetitive domestic brands.
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Looks like BYD supplied 1.7 GWh of 1500V T28 Cube to the world's largest energy storage project in California. Also interestingly enough, BYD has supplied 3.6 GWh of T28 batteries to America as of October.
Now, if BYD can just stay out of PV market and keep raking it in with batteries and commercial vehicles.
Now, if BYD can just stay out of PV market and keep raking it in with batteries and commercial vehicles.
BYD is working on a 30GWh battery project in Yichun (this is the site of major Lithium project for BYD and CATL). They will finishing preparing the ground and start building factory by end of November.
From Oct 29th, they've started phase 2 of Changsha's battery project. It's for 10 GWh.
Aside from various lithium projects, BYD Fudi is also invested in Electrolyte projects.
One is in Shaanxi ShangLuo (12k t already in production with another 36k t coming)
陕西商洛：1.2万吨（已投产）+ 3.6万吨
Qinghai Xining, 3k t of Lithium Hexafluorophosphate and 600t of lithium fluoride
青海西宁：3000吨六氟磷酸锂 + 600吨氟化锂
There are also additional projects like this in Anhui, Shandong and Jiangxi Fuzhou.
As you can see, BYD has battery, lithium and battery chemistry plants under construction everywhere.
From Oct 29th, they've started phase 2 of Changsha's battery project. It's for 10 GWh.
Aside from various lithium projects, BYD Fudi is also invested in Electrolyte projects.
One is in Shaanxi ShangLuo (12k t already in production with another 36k t coming)
陕西商洛：1.2万吨（已投产）+ 3.6万吨
Qinghai Xining, 3k t of Lithium Hexafluorophosphate and 600t of lithium fluoride
青海西宁：3000吨六氟磷酸锂 + 600吨氟化锂
There are also additional projects like this in Anhui, Shandong and Jiangxi Fuzhou.
As you can see, BYD has battery, lithium and battery chemistry plants under construction everywhere.
I must have missed your explanation of why you don’t want BYD to do PV. Could you elaborate please?
From just BYD’s cultural POV I would have expected them to consider the source of electricity for their products as a component in their self reliance model. It seems strange to consider BYD batteries being charged with non-BYD products.
Unfortunately in today's world, anything that China/Chinese companies do in America would be viewed in highly political manner. For a company like BYD that would be very successful (if it entered the US market), this level of success will give it unnecessary scrutiny from US politicians. BYD's best move is to get itself integrated in all the major non-Tesla automaker's supply chain. That would be very lucrative and allow it to keep selling energy storage products and commercial vehicles in America.
I see more negatives than positives in entering US PV market.
