Now China is talking openly about the tectonic shift which is happening with its New Energy Plan being implemented on a state level scale. We have been discussing it here for years and now all these things are happening very fast. Energy rEVolution is taking China over with the record amount of Solar and Wind generation capacity being installed. Energy Storage will grow exponentially next. China is already the largest market in the world for electric cars and leapfrogging the ICE Age technologies straight into the Electrification of all transportation.
As in every military operation, the supply chains are crucial and Chinese planners are building carefully the supply of critical commodities to feed the Next Industrial rEVolution. Chinese companies are getting the state level funding in order to buy the best projects all over the world in Copper, Lithium, Cobalt and other Energy Metals.
We have just crossed 1% in global auto sales for electric cars and now Tesla Model 3 will ignite the attack on the ICE Age worldwide. The Economist is writing about the death of the ICE engines and the next news about the critical issue of security for lithium supply will hit the headlines. So far Chinese companies are very happy buying at the floor level valuations all the best lithium projects in the world. When will the West wake up finally?
Security of lithium supply is at the very base of this state-level investment game by China. In the end, you cannot participate in billions of dollars in available government funding if you cannot secure the supply of lithium raw materials to feed all this pyramid. Disruption of $12 Trillion dollars industries ($4 Trillion Transportation and $8 Trillion Energy and Utilities) is based on the $2.5 Billion dollars market by sales of lithium raw materials. And the price of that critical commodity is just under 2% of total cost of a lithium battery. We will have the very fast increase in lithium prices and the wave of M&A in our very small sector will be one of the most impressive ones, when billions will be chasing all available secure lithium supply trying to buy the time they have lost already. Read more.
International Lithium's JVs With Ganfeng Lithium Is An Entry Point To A Vertically Integrated Business With An Industry Giant From China.
International Lithium's (TSXV: ILC) Joint Ventures with Ganfeng Lithium in Argentina and Ireland is an entry point to a vertically integrated lithium business with a USD $6 Billion market cap industry giant from China. ILC's strategy is to build VC Capital in a number of M&A transactions. Construction of ILC Royalty Portfolio is our underlining business model. International Lithium's stake in the Mariana joint venture is of particular interest for OEMs entering into the electric car and lithium battery business looking to secure their long term lithium supply. Read more.
Please contact us to explore this opportunity. Thank you! InternationalLithiumCorp@gmail.com
China Daily:
Battery technology steering e-car sales
By ZHENG YIRAN | China Daily
Workers on the assembly line at Shenzhen-based battery producer OptimumNano Energy Co Ltd's factory in Chenzhou, Central China's Hunan province. HE MAOFENG / FOR CHINA DAILY
"China is the world's largest market for electric cars and at the heart of this new energy drive is the lithium battery.
The country's electronic vehicle sales had surppassed that of the Europe and the United States since 2016, and will continue to lead until 2040, said a report by Bloomberg New Energy Finance released in the end of July.
In April, the government issued guidelines to raise the percentage of e-cars to more than 20 percent, or about 7 million vehicles, by 2025.
Already new energy models have surged by 14.4 percent to 195,000 vehicles in the first half of this year, accounting for 1.5 percent of auto sales, according to the China Association of Automobile Manufacturers.
Market potential is so huge that companies throughout the manufacturing chain are battling for supremacy.
"China's new energy vehicle industry, as well as the power battery sector, has evolved into a stage where there are rivalries in technologies and resources," said Zhang Xiaofei, president of Shenzhen Gaogong Industry Research Co Ltd, an industrial analytic company, specializing in batteries, e-vehicles and new materials.
Lithium battery production is growing at breakneck speed in China, fueling investment in research and development.
This has triggered major breakthroughs in the sector as they become smaller and generate more energy.
"We have invested a lot in research and development," said Chen Weifeng, assistant chairman of Contemporary Amperex Technology Ltd, a domestic battery maker.
"Our R&D input in the past two to three years has reached 3 billion yuan ($447 million)," Chen added.
Founded in 2011, CATL took advantage of the nascent new energy sector in China. The company has since become the major battery supplier of global brands such as BMW Brilliance Automotive Ltd, Zhejiang Geely Holding Group and BAIC Motor Corp Ltd.
Data released by lithium battery specialists Realli Research showed that CATL has become one of the leading players in China. In the first half of this year, installed battery capacity at CATL reached 1,312.4 megawatt-hour, with a market share here of 20.98 percent.
The company pulled clear of second-placed BYD Co Ltd, which accounted for 17.35 percent. Behind BYD were Shenzhen-based Optimum-Nano Energy Co and Hefei Guoxuan High-Tech Power Energy Co Ltd."
No comments:
Post a Comment