China 12th Five Year Plan on Battery

　　China’s 12th Five-Year Plan to Promote Power Battery Industry

　　In the following part, I will introduce the future prospects of China's power battery industry and the current situation of industrialization.

　　Currently, we have implemented a number of automotive industry policies such as the revitalization plan of auto industry and the pilot program of promoting the development of new energy vehicles. Finally, we made some predictions. By 2015, the overall ownerships of electric vehicles will reach nearly one million units. At that time, the demand for battery power will exceed ten billion watts. As a large market, China will provide strong supports for the development of electric vehicles as well as electric bikes. The total ownerships of electric bikes in China are over 100 million units. The annual production capacity is more than 20 million units. The booming development of electric bikes, especially the development of power batteries, will provide sound supports for the development of lithium-ion batteries.

　　The market of power batteries is divided into three parts.

　　Let's have a look at the layout of power battery manufacturers, whose products include nickel-metal hydride batteries, lithium ion batteries and super capacitors. As to the application of lithium ion batteries, we can see there are several manufacturers including BYD, Xinheng, Wanxiang, Lishen, Bike, Mengguli, Jiewei and etc. Shanghai Wanhong is a manufacturer of Ni-MH batteries. Harbin Jurong produces super capacitors. The market of power batteries can be divided into three parts-Pearl River Delta, Yangtze River Delta, and Beijing and Tianjin. In these three areas, the whole industry has been basically founded, covering raw materials, vehicle applications, the integration of the batteries and etc. In these regions, a good industry chain has formed.

　　According to the results of our latest survey, the production capacity of China's power battery industry is more than ten billion watts. The entire investment will be over ten billion yuan. At the same time, China's power battery industry has promoted the development of key raw materials. According to my speech, lithium-ion is a key raw material. Cathode materials include aluminum manganese oxide, iron and aluminum phosphate and etc. Therefore, the manufacturers which produce cathode materials will promote the development of separator companies as well as electrolyte enterprises. A number of major manufacturers such as Shanshan, Mengguli and Tianjin Jinniu have promoted the business of several manufacturers of raw materials. With the development of power battery industry in China, these manufacturers also achieved great progress.

　　According to the 12th Five-Year Plan of Ministry of Science and Technology, this is the focus of battery research and development. Through the demonstration projects, we will be able to find out several problems of power batteries, regarding the consistency and stability of batteries. Then we will further enhance the energy density, power density and safety of power batteries.

　　Currently, we want to overcome these problems ahead through implementation of the 12th Five-Year Plan, or achieve upgrading of technologies based on the early foundation. It can be classified into three categories. The first is content of systematically supporting development of hybrid vehicles, which is conducted from the perspective of system, such as nickel-metal hydride batteries, lithium ion, and super capacitor.

　　While in terms of pure electric vehicles, the support comes from the perspective of module, including standardization of module the next step that mentioned by the director Wang. We plan to standardize the module after standardization of single lithium-ion. An industry standard or a national standard must be made.

　　Battery for the next generation of pure electric vehicles can be divided into two categories. One is the advanced lithium-ion battery, and the other is a new type of batteries including lithium-sulfur, reflected in the form of single cells.

　　Actually there are three levels. Battery for hybrid vehicles can be reflected systematically. For pure electric vehicles, including the plug-in and EV can be reflected by module. Battery for the next generation of pure electric vehicles will be reflected by single cells. These are three supporting contents for modules.

　　The 12th Five-Year Plan can promote development of Chinese power battery and related industries

　　At the same time, there is also support for development of Chinese power battery and related industries, including security, standardization, recycling and a comprehensive assessment of the performance.

　　Power battery is an important part of the 12th Five-Year Plan whose funding can account for about 30% of the total funding. From my own perspective, the strong support is expected to promote the development of Chinese power battery industry and related raw materials industry. Seeing from the entire industry chain, I think a virtuous cycle is formed. And through this cycle technology level of Chinese power battery industry can be improved so that electric vehicles’ demands for power battery can be met. Consequently, China’s electric vehicles industry will develop.

　　Friends from foreign enterprises can also explore or exchange related issues so as to create more opportunities for cooperation, which is beneficial to the development of China’s electric vehicles industry. This concludes my report, thank you!

　　(Translator: Qinghua/Wade&Hanxin)

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　　http://auto.sohu.com/20101201/n278035905_2.shtml