This Chinese Battery Plant Will Be Bigger Than the Tesla Gigafactory

[onebyone]

As Elon Musk races to finish building the world’s biggest battery factory in the Nevada desert, China is poised to leave him in the dust.

Chinese companies have plans for additional factories with the capacity to pump out more than 120 gigawatt-hours a year by 2021, according to a report published this week by Bloomberg Intelligence. That’s enough to supply batteries for around 1.5 million Tesla Model S vehicles or 13.7 million Toyota Prius Plug-in Hybrids per year, according to Bloomberg New Energy Finance.

By comparison, when completed in 2018, Tesla Inc.’s Gigafactory will crank out up to 35 gigawatt-hours of battery cells annually.

Lithium-ion batteries have long been used in smartphones, laptops, and other personal electronics, but demand is forecast to explode in the next five years as electric vehicles proliferate and power companies install giant storage systems to smooth the ebb and flow of wind and solar.

Telsa produced nearly 84,000 vehicles in 2016 and has said it plans to make 500,000 in 2018.

While Tesla may be building the biggest and splashiest factory, the Chinese government has launched a sweeping effort to increase the country’s dominant market share.

Roughly 55 percent of global lithium-ion battery production is already based in China, compared with 10 percent in the U.S. By 2021, China’s share is forecast to grow to 65 percent, according to Bloomberg New Energy Finance.

In all, global battery-making capacity is forecast to more than double by 2021 to 273 gigawatt-hours, up from about 103 gigawatt-hours today. That’s a huge opportunity, and China doesn’t want to miss it.


“The Gigafactory announced three years ago sparked a global battery arms race,” said Simon Moores, a managing director at Benchmark Mineral Intelligence. “China is making a big push.”

But don’t count Tesla out. The company, based in Palo Alto, California, plans to announce locations for up to four new factories by the end of 2017. (It’s exploring at least one site in Shanghai.) And there are few, if any, individual Chinese battery companies that can match the scale of Tesla’s production toe to toe.

Yet while China lacks a dominant battery behemoth, it makes up for it with a constellation of smaller players, including Amperex Technology Ltd., Tianjin Lishen Battery Joint-Stock Co. and dozens of others.

Earlier this year, the Chinese government announced plans to consolidate battery manufacturers to help the industry mature. The initiative goes hand in hand with China’s plans to flood highways with five million electric vehicles by 2020.

China’s ambition to become the global leader in clean cars stems in part from pressure to clear pollution from smog-choked streets in Baoding, Xingtai, Shijiazhuang, and other cities. There’s a second reason: creating a domestic market for Chinese battery manufacturers, said Logan Goldie-Scot, a Bloomberg New Energy Finance analyst.

“The Chinese government wants to encourage the creation of a domestic market to create a large enough base and gain a foothold,” Goldie-Scot said. “From there, they can expand and sell globally.”

— With assistance from Brian Eckhouse

(Corrects factory capacity in second paragraph and map, and vehicle equivalents in second paragraph)

https://www.bloomberg.com/amp/news/articles/2017-06-28/china-is-about-to-bury-elon-musk-in-batteries

 

[C130]

comparing one guy and his company against a whole country like China

 

[cirr]

At least 200GWh by 2020.

 

[AndrewJin]

I thought Supa Powa was the number one since they allegedly had the most investment from the universe.

 

[Shotgunner51]

comparing one guy and his company against a whole country like China

Yes, that's indeed hilarious, well that's not the first Bloomberg article with sensational or click-bait title, so let's ignore it and only read the contents.

 

[C130]

Yes, that's indeed hilarious! Well that's not the first Bloomberg article with sensational or click-baiting title.

China has a lot of small/middle/large players. Musk is going big with his GIGAFACTORIES. He's even building one in China. This is click bait indeed.

 

[Shotgunner51]

China has a lot of small/middle/large players. Musk is going big with his GIGAFACTORIES. He's even building one in China. This is click bait indeed.

Yes it is mentioned in post #3 (see the chart), Panasonic will launch a Gigafactory in China's Dalian city, perhaps it's also exclusive for Tesla just like the Nevada site.

As first mover Panasonic is leading at the moment with its Gigafactories, but LG Chem and Samsung SDI are already on par.

All three above are ramping up in China, but the biggest push is from Chinese companies, you are right there are quite a numbers of players: CATL (Contemporary Amperex Technology Ltd; 宁德时代) is the behemoth, other big ones are Lishen, BYD, Boston-Power and CALB (China Aviation Li Battery, 中航锂电). GSR (a Chinese fund which also owns Boston-Power) is in a billion dollar deal to buy AESC from Nissan-NEC, should be completed soon.

https://cleantechnica.com/2016/07/3...cell-production-rankings-gigafactory-horizon/

 

[qwerrty]

comparing one guy and his company against a whole country like China

tesla still lose one-on-one

 

[onebyone]

World lithium battery production will nearly triple by 2021 and China will maintain dominant market share
brian wang | June 28, 2017 |

Chinese battery companies have plans for additional factories with the capacity to pump out more than 120 gigawatt-hours a year by 2021, according to a report published this week by Bloomberg Intelligence. That’s enough to supply batteries for around 1.5 million Tesla Model S vehicles or 13.7 million Toyota Prius Plug-in Hybrids per year, according to Bloomberg New Energy Finance.

In 2018, Tesla’s Gigafactory will produce up to 35 gigawatt-hours of battery cells annually.

Roughly 55 percent of global lithium-ion battery production is already based in China, compared with 10 percent in the U.S. By 2021, China’s share is forecast to grow to 65 percent, according to Bloomberg New Energy Finance.

“This is about industrial policy. The Chinese government sees lithium-ion batteries as a hugely important industry in the 2020s and beyond,” Bloomberg New Energy Finance analyst Colin McKerracher said.

Global battery-making capacity is forecast to more than double by 2021 to 273 gigawatt-hours, up from about 103 gigawatt-hours today.

https://www.nextbigfuture.com/2017/...hina-will-maintain-dominant-market-share.html

 

[Hamartia Antidote]

This Lithium-ion debate is probably moot as the American who invented it is already trying to push his newer kind of technology. The whole world will simply fall inline as usual. Just as we all did with NiCd and NiMH rechargeables (other Western inventions).

 

[C130]

tesla still lose one-on-one

View attachment 407078

one on one against whom?? Musk is building like 4 or 5 Gigafactories all over the world.

 

[shadows888]

one on one against whom?? Musk is building like 4 or 5 Gigafactories all over the world.

and some will be in china. anyway, i think tesla made one critical mistake which is they don't own their battery technology. they buy it from Panasonic which produces the batteries and tesla put them logo on it. Best case scenario is if Tesla ever get big enough to acquire Panasonic.

 

[turbofan7a]

I would buy a tesla anyday even if means shelling out more money, quality can never be compromised.

 

[Han Patriot]

Who is the moderator here?

Chinese members are posting extremely derogatory, extremely racist, and totally inaccurate stuff.

Others would have got banned for posting such stuff.



Neither, Tesla, nor Apple are brand names.

Tesla collaborates with Panasonic, but itself owns a lot of battery related technology.

Apple is perhaps the most complete smartphone manufacturer out there. It owns its software (which no body else does, as everybody relies on Android), SOC, etc.



CATL doesn't own its own technology, which is licensed from a Japanese firm. And it is basically funded using state funds, for battery technology that isn't even world advanced.




Firstly, it is not so simple as to just print money. Value of any thing depends on its demand, and trust that people place in the stuff.

The fact remains that Chinese people themselves don't place enough trust in their own system. They are very eager to park money abroad in terms of residential purchases, and other investments, and then leave.

For a country to have a reserve currency, it needs to be stable, have a good rule of law, have transparency, and investor confidence. NONE of this is present for Chinese markets and capital system. In fact, China in last few years, went in the opposite direction and installed strict capital control measures etc. all of which in fact decrease investor confidence.



For that Chinese media needs to be credible. The fact is that Chinese business people themselves read Economist, and Financial Times, and other newspapers.

Chinese media is under strict censorship, which gives premium to news suitable for the government, not the people or investors.

Look at how huge bloomberg is in all parts of the world.



I think any person involved in business would very easily see this. Tesla is huge, and it does own significant patents and intellectual technology for battery tech.

I am sure Tesla and Panasonic have had a good agreement where Tesla's concerns would have been met.

I was just being sarcastic on the money printing, the printer is doing things (promoting chaos everywhere) to safeguard its value, good job! Back on topic, What battery technology does TESLA own? IF they own battery technologies, why not manufacture it themselves? What technology is CATL "licensing" from? They bought the whole company I think, didn't they?

The fact remains that Chinese people themselves don't place enough trust in their own system. They are very eager to park money abroad in terms of residential purchases, and other investments, and then leave.

For a country to have a reserve currency, it needs to be stable, have a good rule of law, have transparency, and investor confidence. NONE of this is present for Chinese markets and capital system. In fact, China in last few years, went in the opposite direction and installed strict capital control measures etc. all of which in fact decrease investor confidence.



For that Chinese media needs to be credible. The fact is that Chinese business people themselves read Economist, and Financial Times, and other newspapers.

.

Toi a certain degree yes, China is still fast growing at the moment, well prevailing market salaries (also prevailing currency value) are not attractive enough yet, hence talents outflow. I have to agree, rule of law Singapore style, transparency Singapore style are important but investor confidence is not so important. China is not as dependent on investment as India is to balance the CAD. China is pretty much a net creditor nowadays.

Chinese outbound FDI are scoring record highs these years, what control? It's tightened up recently ONLY because Beijing is angry with lunatics like Wang Jianlin buying stupid things like football clubs. Not bullsh**t reasons that IMF/BIS or MSM are trying to spread, come on China is a surplus economy, a net creditor nation perhaps even world largest, you know these are foundation of currency exchange rate, do you not? Worst fear of IMF/BIS or MSM is China firesale of US debts, that's why they cook such absurd even idiotic "control" stories, you won't have guessed so ha?

 

[onebyone]

SHAREREDDITPINTWEETPLUS


Daimler and Chinese joint venture partner BAIC Motor Corporation have strengthened their partnership with an agreement to invest 5 billion yuan ($735 million) in electric vehicle production in China.
electric vehicles.”

Adding to this, chairman of the BAIC Group Xu Heyi said “By confirming our joint commitment to the development of electric drive in China, and undertaking preparations to produce BEVs at BBAC, we are giving full play to the respective strengths of both sides. Together, we are laying the groundwork for our joint venture facility BBAC to become a future BEV production hub in China.”

The Chinese facility will be just the latest in Daimler’s 1 billion euro investment to establish itself as an industry leader in battery production.
http://www.carscoops.com/2017/07/daimler-and-baic-to-invest-735-million.html