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New energy automobile industry chain develops rapidly copper foil industry processing fee is bullish

According to SMM2017 regenerated lead battery industry summit, the development of new energy automotive industry has become the trend of The Times, in July 1, 2017, new energy automobile production finished 272000 and 251000, respectively, year-on-year growth of 26.2% and 26.2% respectively.Among them, the production and sales of pure electric vehicles completed 223, 000 vehicles and 20.4 million vehicles respectively, up 37.8% and 33.6% from the same period last year.The production and marketing of plug-in hybrid cars completed 49,000 vehicles and 47,000 vehicles respectively, down 8.8% and 12.8% respectively from the same period last year.

China’s new energy vehicle sales of 507000 vehicles in 2016, has more than 1 million cars, accounting for 50% of global market ownership, the world’s first, is expected to reach 5 million in 2020’s, the capacity will reach 2 million units, more than 100 GWH demand for power battery, 2030 demand will exceed 300 GWH.

It is the increasing demand for new energy vehicles that drives demand for lithium batteries.And 6um copper foil to the equipment and the technical requirements high, currently only the nord shares and lingbao huaxin production.Therefore, the market to 6um copper foil substitute acceleration, demand exceeds supply.SMM believes that copper foil processing costs will continue to rise in 2017.

Nord shares and lingbao huaxin copper foil co., LTD. Is an example of expanding capacity in the industry.

The company’s earnings report for the first half of 2017 showed revenue of 15.53 billion, up 79% from a year earlier, and a net profit of 115 million yuan, an increase of 482% from the same period last year.

In the first half of the year, the company’s year-on-year growth was mainly based on the following two points:
1. Copper foil is in short supply
According to the company’s announcement, the total output of the company’s copper foil in 16 years is 19,000 tons, the total copper foil output can be 30,000 tons (lithium electric copper foil 25,000 tons), and lithium copper foil market share is 30%.Benefiting from the rapid growth of new energy vehicles and the shortage of global copper foil in 17 years, the company will continue to expand production to support the production, which is expected to produce about 26,000 tons per year.

2. Focus on the copper foil industry
The company has made a series of strategic adjustments, stripping out the loss of oil and other losses.The advantage of nord is that as the new energy automobile industry chain develops, the demand for battery technology is improving, and nord is one of the few enterprises in the market that can produce 6m copper foil.Therefore, the company has made a strategic adjustment, determined to carry forward the advantages, avoid disadvantages and expand the proportion of copper foil business.As a result, the company’s copper foil business now accounts for 76% of the total business.

In addition, the company set up a new qinghai nords 40000 tons electrolytic copper foil projects for CDB capital support 140 million, 2017, drawing up the new production of 10000 tons, 20000 tons, the production of the 2018 production of 10000 tons in 2019.

Lingbao huaxin, the only company in henan province that produces electrolytic copper foil, is the only company in China that can compete with nord and produce 6 mu of copper foil.The company produced 10,500 tonnes of lithium electric foil in 2016, accounting for 18.4 per cent of the market and second in the country.

However, with the development of new energy vehicles, in view of the increasing demand for copper foil in the market, lingbao huaxin has also expanded the production capacity of copper foil.According to the data of the electronic copper foil industry association, the new total output of lingbao huaxin in 2017 will be 6000 tons, of which the new production capacity of lithium batteries will be 5,000 tons, and the production capacity of the electronic circuit will be 1000 tons.

Continuously updated…
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