Trendforce Jibang consulting believes that as the core component occupying the highest cost of electric vehicles, reducing the cost of power batteries will be an important strategy for enterprises to compete in the future. By virtue of its cost performance advantages, lithium iron phosphate battery is estimated to account for more than 60% of the installed capacity in the global power battery market by 2024. It is expected that the cost performance advantage of lithium iron phosphate battery will be more prominent, and it may become the mainstream of the terminal market in the next 2-3 years. The proportion of global installed capacity of lithium iron phosphate battery and ternary battery will also change from 3:7 to 6:4 in 2024.
Huafu Securities believes that from the second half of 2021, the upstream raw material price of lithium battery has continued to rise. Under the pressure of cost side and the influence of subsidy policy, lithium iron phosphate battery with relatively low price is favored by the market, and the installed capacity accounts for more than ternary battery. This trend will not change in the short term. The price of lithium iron phosphate cathode reflects the current supply and demand pattern, and the sharply rising price has a great positive impact on the profits of Companies in the iron phosphate industrial chain. The total amount of enterprise production expansion plan is large, but the actual implementation will be greatly reduced by factors such as energy consumption, environment and capital. However, the growth of demand is sustained and stable, and the tense relationship between supply and demand may be maintained until 2023. Overall, benefiting from the rapid growth of lithium battery demand, the supply and demand pattern of lithium iron phosphate continues to be tight, and there are layout opportunities for iron phosphate and lithium iron phosphate cathode material companies in the industrial chain. It is suggested to pay attention to Yunnan Yuntianhua Co.Ltd(600096) , Shenzhen Dynanonic Co.Ltd(300769) , etc.
