New Energy Vehicles (NEVs) in China
- Thread starter supercat
- Start date
How about solid state batteries?
How about them? Why use them for ESS?
My point is just to show why BYD has a huge cost advantage. I don't know the productivity of someone from Shanghai vs Arizona vs Yangzhou, but I doubt it's anywhere near the difference in the entry level jobs are getting paid. In semi fabs, battery factories and car plants, BYD always starts off at around $1000 a month and expect 60 hour work weeks. The lodging and health care costs are probably minimum. But this allows them to have huge cost advantages even if they have to hire a few more people.
that's a long time from now. Who knows what % of overall battery supply will be from lithium. Too many countries are treating lithium, nickel and cobalt like they are oil, when they just happen to be one chemistry that works. I guess it's too difficult for politicians to understand the future control resides in chemistry and supply chain rather than just hoarding natural resources.
there will be a place for it for applications that need high energy density. There are other applications that would do better with lower cost and low density chemistry. Sodium ion supply chain will take a while to build up. BYD thinks the initial sodium ion batteries won't have any cost advantage other LFP they produce.
NIO sales at approx 26K vehicles for December 2022, based on company statements
That's a significant increase as they were stuck at 10K per month for a long time. It looks like their 2nd factory is really ramping up now
On a monthly basis, that is roughly $128 Mn in additional profits, based on an extra 16K vehicles per month x 8000 USD gross profit. Figures are based on the Q3 2022 financials from NIO.
It would also mean NIO's monthly losses would reduce significantly to just $50 Mn per month
And if they increase sales by another 5K vehicles, the company will go past financial break-even and be profitable overall
And next year, as long as they can keep increasing sales numbers, NIO's profitability will increase significantly as many of their costs are fixed or one-offs
Source below
carnewschina.com/2022/12/12/nio-expects-to-deliver-26000-cars-in-december/
That's a significant increase as they were stuck at 10K per month for a long time. It looks like their 2nd factory is really ramping up now
On a monthly basis, that is roughly $128 Mn in additional profits, based on an extra 16K vehicles per month x 8000 USD gross profit. Figures are based on the Q3 2022 financials from NIO.
It would also mean NIO's monthly losses would reduce significantly to just $50 Mn per month
And if they increase sales by another 5K vehicles, the company will go past financial break-even and be profitable overall
And next year, as long as they can keep increasing sales numbers, NIO's profitability will increase significantly as many of their costs are fixed or one-offs
Source below
carnewschina.com/2022/12/12/nio-expects-to-deliver-26000-cars-in-december/
So I think Chengdu BYD Semi may turn out to be their largest fab location (even larger than Jinan). Keep in mind that Chengdu JV with Tsinghua Unigroup was for 55 Billion RMB.
It was to have a 12-inch fab for 3D flash memory chips and to carry out the R&D, manufacturing and sales of memory related products. Given that Tsinghua Unigroup also started YMTC, this was likely going to be a second major NAND flash manufacturing base. Looks like that project fell through somehow. As such, Sichuan gov't was very eager to find a replacement. The Sichuan party chief met with BYD a few months ago to talk about possible semiconductor project. At the time, it wasn't clear what they had in mind. But now, it looks like BYD got lucky again and will be able to take over a huge space along with semi completed structure that they can use already. putting things into perspective. So we will find out in the coming months what this project looks like.
BYD's new R1 previews. This should get unveiled in 2023 Q1. BYD should provide full product coverage next year with the Sea Gull on the low end, Sea lion covering mass market SUV, numerous Denza SUV/Sedans and the very high end R1 off road vehicle and R2 sports car. That along with electric Pickup and other niche products. BYD will have the entire product line to offer. That's BYD's strategy. It wants to have something for all of your need, so you don't go to Tesla or NIO or anyone else. Just come to our website, we have anything you want.
December is a month bosted by partial phase-out of various incentives, so it's far too early to tell.
Eagerly waiting for them to make a brand which is actually not ugly.
They somehow made a beautiful Seal, but judging by that is coming after it - it was an oddball.
p.s. but, to be fair, going away from Build Your Dreams by itself gonna be a huge progress.
Personally I think Han, Yuan plus, Seal are all very aesthetic, and I'd be pretty happy being seen driving in any of them.
Sea Lion may have potential too.
Yes, but remember what we saw previously in the West during the first mass COVID outbreaks
People ditched public transport and the demand for cars increased for months
In addition, NIO cars are already too expensive to qualify for some of the incentives being phased out. Plus the 2nd factory still has another 10k monthly capacity, based on previous public statements
In terms of demand, almost all of their models look to be available immediately with a wait time of 2-3 weeks, which likely reflects the actual time to produce in the factory and then transport the cars to customer.
But the exception is their most affordable car which is listed as 3-4 months and which is likely to be their best seller by a large margin.
They also have new models launching, which should easily account for 10k of additional monthly sales. And crucially, the R&D and other upfront costs for these models has already been spent, so the new models will contribute directly to profitability.
cnevpost.com/2022/12/22/nio-et5-wait-time-further-shortened/