BYD, the world's largest plug-in vehicle manufacturer, is expected to strip its batteries and photovoltaic equipment.
So far, BYD has invested in the production of its own lithium-ion battery cells, components and packaging. By 2018, the automaker's production capacity will reach 28GWh.
However, according to the latest news, its battery business and photovoltaic business will be split and listed on the stock exchange.
On March 31, Shen Ye, deputy general manager of BYD Lithium Battery Division, said that BYD is doing power stripping of its power battery. It is expected that it will be completed by the end of 2018 or early 2019. BYD's power battery company will be listed independently in 2022-2023. .
One of the reasons for this action is the competition from other major battery manufacturers (such as Ningde Times CATL), who are looking for new ways to promote rapid growth, and have already squeezed the position of BYD as a power battery boss before.
In 2017, the installed capacity of BYD's power batteries was only 5.43Gwh, lagging behind that of No. 1 in the Ningde era with an installed capacity of 10.4Gh.
In Nissan's sale of its AESC battery manufacturing division (created by NEC), many people began to see the production of cars and batteries appear to be two parallel but independent businesses, BYD's move confirmed this further.
'BYD intends to spin off its battery and photovoltaic sector, and further promote the separation of the listed units on the stock exchange, aiming to compete with CATL and trying to seize the strategic opportunities lost by the battery industry. Currently, BYD has been working with Great Wall Motor in the field of power batteries. , BAIC and GAC reached a cooperation. ' In addition, this split also helps to dilute the costs and apportion the risks.
'As soon as BYD successfully splits its battery pack and makes it available on the stock exchange, it will become BYD's new business that will open a new 100 billion market capitalization. In addition, the battery business will help increase BYD's valuation.'
With the impending implementation of the double-point system, new energy subsidy retreat, and improved power battery technology, 2018 is considered to be the watershed of the power battery industry. BYD's split-power battery business can be said to be only the beginning of industry consolidation. .
