“At present, except for a few large customers, the price increase has been completed, which is basically a buy it now price.” Zhang Feng, Farasis Energy (Gan Zhou) Co.Ltd(688567) senior vice president and Secretary of the board of directors, told the first financial reporter at the forum of the 8th China electric vehicle hundred people’s conference today. From the price increase time node, the price increase began on January 1 this year, and the price negotiation was completed in November and December last year. “It is not convenient to elaborate on the price increase, but they are all above 25%
Zhang Feng also said that due to the further rise in the price of raw materials this year, he is currently negotiating with some customers to share the price increase with customers from January to the end of March this year. Now he is negotiating the second round of price increase. He believes that the main reasons for the current tight supply of raw materials upstream of power batteries are the long production expansion cycle of mineral resources, room for improvement of mining technology and limited logistics. With the improvement of lithium technology by upstream enterprises and the catch-up of overseas mineral production capacity, the supply of raw materials will recover next year. At present, the production capacity of Farasis Energy (Gan Zhou) Co.Ltd(688567) 2022 has been sold. It is expected that the tense situation of battery supply will not change this year. With the gradual release of the production capacity of battery suppliers, this situation may ease next year.
