Industry dynamics

With the rise of new energy electric vehicles around the world, a large number of lithium batteries are used in global electric vehicles, coupled with the configuration of lithium batteries for cell phones and mobile devices, the future of the world will produce a large number of used lithium batteries, new energy battery scrapping first started in China, is expected to be scrapped this year for about 700,000 tons, but the whole industry is currently in the stage of overcapacity in the batteries are not scrapped before a large number of funds and enterprises have been laid out in the Before the battery is scrapped, a large amount of capital and enterprises have been laid out in the new energy lithium battery recycling production line, so that the global production capacity of a serious surplus situation. The global market, because the new energy wave has just risen, in which China’s population accounts for only 20% of the world’s population, and 80% of the population is a potential consumer of new energy lithium batteries, because in addition to China, a large number of waste lithium batteries will be generated overseas in the future, and there have been a large number of containers of waste batteries shipped to Southeast Asia. However, these lithium batteries or their physically crushed black powder are defined as “foreign garbage” by the national customs and cannot enter China directly, therefore, if we can set up a processing plant in Southeast Asia, which has lower environmental requirements and labor cost requirements, and reprocess the raw materials that don’t meet the customs requirements into new energy lithium batteries, it will greatly reduce lithium batteries’ Production cost.

From the perspective of technology development, business model and industry chain synergy, the power battery recycling market outlook is relatively impressive, but there are also a number of key challenges: in terms of technological development, the process of power battery recycling technology route is relatively clear, based on the commercial reality is expected to be recycled in the medium and long term to dismantling and recycling dominated by the way – Power BatteryThe two main ways of recycling are laddering and dismantling.The gradient use is the remaining capacity is high, the overall meet the use of demand for decommissioned batteries appropriate repair, unified standards, put to the ground requirements of the battery field for secondary use such as energy storage (grid frequency regulation, peak shaving to fill in the valley, wind energy storage, pylons, etc.) and the field of low-speed electric vehicles.Dismantling and recycling is the end-of-life power battery centralised recycling, through the process of technology recovery of nickel, cobalt, manganese, copper, aluminium, lithium and other metals in the battery, and then recycling of these materials, the manufacture of power battery packs, applied to new energy vehicles.Restricted by safety concerns, insufficient market regulations, the impact of vicious competition and the lack of industry standards and other factors, the large-scale development of ladder utilisation is facing greater challenges, and dismantling and recycling, which is more mature in terms of technology and commercial application, is expected to be the dominant method in the medium to long term.In the dismantling and recycling process, the fire method and wet method are the mainstream battery-level raw material purification and regeneration process, the link has a high technology and scale barriers, while creating higher economic benefits, the leading companies need to address the supply stability of the front-end battery recycling channels, and actively layout the raw material rege.