Jiwei.com News, Zhuhai Guanyu said recently during an institution that Zhejiang Guanyu Battery Co., Ltd. has planned an annual production line of 2.5GWh, which has been put into production recently. In addition, Zhejiang has planned to build an annual production of 10GWh lithium-ion power battery. The first phase of the project has completed the land bidding and auction procedure in 2021. Chongqing Guanyu Power Battery Co., Ltd. is expected to invest 4 billion yuan in a total of 6 high-performance new lithium-ion battery intelligent production lines, forming a production capacity scale of 15GWh high-performance new lithium-ion battery annual production, mainly energy storage batteries.
In the field of power battery, Zhuhai Guanyu has continuously improved its technical strength by increasing R&D investment and building a professional R&D team. At present, the performance of power battery products has reached the mainstream market level. Zhuhai Guanyu uses China's perfect power battery industry chain and the company's reputation and customer resources accumulated in the field of consumer lithium batteries to reasonably expand the production capacity scale, and establish contact with mainstream car companies through 12V and 48V low-voltage system start-stop batteries, striving to gradually extend from the current automobile start-stop batteries, electric motorcycle batteries and other businesses to pure electric vehicle batteries. At the same time, Zhuhai Guanyu continues to expand its energy storage battery business, and gradually extends to power energy storage batteries through its current home energy storage battery and communication energy storage battery business. Zhuhai Guanyu Power Battery Co., Ltd. (hereinafter referred to as "Guanyu Power Battery"), a wholly-owned subsidiary of
, recently received a letter of intent from Liuzhou Wuling Automobile Industry Co., Ltd. (hereinafter referred to as "Liuzhou Wuling" or "customer"). Liuzhou Wuling chose Guanyu Power Battery as its lithium battery system assembly parts supplier to develop and supply PHEV power battery systems for it. The specific product supply time, price and supply volume shall be subject to the formal contract signed and sales orders.
In the field of power batteries, in the booming new energy vehicles and energy storage markets, and the overall supply of power batteries and energy storage batteries is in short supply, Zhuhai Guanyu's automotive low-voltage batteries have been designated by many famous domestic and foreign OEM factories. Agricultural drone batteries continue to supply mainstream customers such as DJI. However, consumer lithium-ion batteries are Zhuhai Guanyu's core products and are also the primary direction of the company's future development. Zhuhai Guanyu said that the company hopes that under the trend of continuous expansion of lithium-ion battery application and increasing demand, the company will continue to develop its existing main business, base itself on the consumer battery field, maintain its industry leading position in laptop batteries, and further increase the market share of mobile phone batteries. In the future, while leveraging its own advantages to seize market share, the company will further increase capital investment and increase production capacity to meet market demand.
It is understood that Zhuhai Guanyu's future investment plan for consumer lithium-ion batteries will still mainly focus on laptop and tablet batteries and smartphone batteries. In addition to using its own funds to expand production, the company's first funds raised and convertible bonds that are preparing to issue are also mainly invested in the consumer field, realizing the upgrading of consumer lithium-ion battery production process from winding process to lamination process, and at the same time improving the production service capabilities of mobile phone and wearable lithium-ion battery packaging, and expanding the self-supply ratio of lithium-ion battery cells, thereby providing downstream customers with one-stop services and improving the company's overall service capabilities and market competitiveness. In the future, Zhuhai Guanyu will use its own funds to appropriately increase investment in drone batteries and smart home product batteries based on existing and potential orders and judgments on future industry scale, and gradually improve the product structure of consumer lithium-ion batteries.
In the field of consumer batteries, Zhuhai Guanyu has deepened long-term and stable cooperative relationships with laptop and tablet manufacturers such as HP, Lenovo, Dell, Asus, Acer, Microsoft, Amazon, smartphone manufacturers such as Huawei, OPPO, Xiaomi, Lenovo, ZTE, as well as drone and smart wearable manufacturers such as DJI, BOSE, Meta, and Google. At the same time, Zhuhai Guanyu has entered the supply chain system of manufacturers such as VIVO, Apple, and Samsung, and has begun mass supply to manufacturers such as Apple and Samsung.
In 2021, in addition to the original customers such as HP, Xiaomi, ZTE, Huawei, Honor, Amazon, BOSE, etc., directly place orders to the company to purchase PACK products, Zhuhai Guanyu began to directly supply PACK products to terminal customers such as Dell, OPPO, DJI, Acer, and MSI.
According to reports, according to the Techno Systems Research statistical report, Zhuhai Guanyu's market share of lithium-ion batteries in laptops and tablets was 27.17% in 2021, of which the market share in the field of lithium-ion batteries in laptops reached 30.48%, ranking second in the world; the company's market share of lithium-ion batteries in smartphones was 6.84%, ranking fifth in the world. At the same time, Zhuhai Guanyu actively expands high-quality customers in downstream markets and continuously increases the company's share in strategic customer procurement. With the continuous expansion of production and operation scale, the company's scale advantages are becoming increasingly prominent, and it has strong strength in supply chain management, cost control, continuous technology iteration, customer service, etc.
Regarding the continuous price increase of upstream raw materials, Zhuhai Guanyu said that the company's main raw materials include lithium cobalt oxide, graphite, diaphragm, electrolyte, etc. Against the background of rising average raw materials prices, the company negotiated with downstream customers to raise product prices, and there was a certain lag in sales prices relative to the price increase of raw materials.
In order to deal with the fluctuations in raw materials prices and reduce the company's operating risks, Zhuhai Guanyu has taken corresponding response measures from many aspects, as follows:
A. The procurement department dynamically tracks the market price trends of major raw materials such as lithium cobalt oxide, and predicts future raw material price trends based on the market price of supplier raw materials, the company's safe inventory, etc., and reasonably plan the raw material procurement plan and inventory volume to cope with the risk of adverse fluctuations in the short term of raw materials. If the price of lithium cobalt oxide is predicted to rise in the future, Zhuhai Guanyu will place an order in advance to purchase lithium cobalt oxide as a strategic reserve for future production.
B. Actively develop new raw material suppliers that meet the company's production and operation requirements, and continue to expand the list of qualified suppliers. On the one hand, it avoids the company's raw material costs from fluctuating greatly due to price increases in a single supplier, and on the other hand, it is conducive to the company's high bargaining power.
C. The marketing department adjusts the corresponding product sales price according to the changes in the raw material procurement price of the procurement department. When the price of raw materials rises sharply, we will negotiate with downstream customers to adjust the price and do a good job in communication and explanation of customers.
(Proofreading/James)
