The era of lifepo4 battery electric bicycle compliance opens

In 2024, electric two-wheelers, electric vehicles, and energy storage are the "troika" of lithium batteries in China. At the same time, under the intensive introduction of a series of new regulations, the two-wheeled lithium battery market is about to usher in a new round of development opportunities. Aiming at this market, battery manufacturers have begun to increase their layout. On October 28, BYD and Jiangsu Zongshen Vehicle Industry Co., Ltd. announced the establishment of a lithium battery pack management advisory committee, marking BYD's renewed efforts in the two-wheeled lifepo4 battery market. Jiangsu Zongshen said that the two sides will focus on innovative management, promote the integration of lithium electrochemical products vehicle and electric business planning layout, and plan to form a set of practical lithium electrochemical products business model in 2025. It is reported that BYD invested billions of funds in 2020 to enter the field of small power lithium batteries, and now the cooperation with Jiangsu Zongshen includes seven battery packs on the product side and the perfect match of the vehicle, trial promotion activities on the marketing side, and the traditional cognitive transformation of the user side.

Ding Lu, director of Jiangsu Zongshen Group, pointed out that the lead-acid battery market is huge, providing a broad stage for lithium technology, and Jiangsu Zongshen's stock market vehicles will be directly switched to lithium technology to enhance competitiveness. Byd regional manager Zhang Shitong revealed that Zong Shen BYD lithium battery pack has been widely used in small vehicles and power replacement scenarios, BYD will provide Zong Shen and terminal businesses with a full range of services and technical support, with lithium iron phosphate battery core. The cooperation heralds BYD's in-depth layout in the two-wheeled vehicle market, which is expected to help the rapid penetration of lithium batteries in the field of small vehicles.

In fact, according to starting research (SPIR) statistics, the penetration rate of lithium batteries in the electric two-wheeled vehicle industry has reached 22.4% in 2020, and the shared electric bicycle and B-end power exchange market have contributed a large increase. At that time, in the shared motorcycle lithium battery market, Xingheng, Nandu, Changfeng, CATL, Guoxuan, ATL and other enterprises have entered the board. Power battery enterprises and shared motorcycle enterprises to cooperate. For example, Ningde Times and hello travel, Lishen and the United States Group, BYD/Guoxun high-tech and green orange bicycles. Among them, in October 2020, Fodi Battery held the first drop green orange battery offline ceremony, according to Fodi battery, the company has developed 48V15Ah products for a year, all using lithium iron phosphate soft pack cell, with excellent safety characteristics, ultra-long cycle life, good temperature performance.

At the same time, Fodi Battery has reached a number of well-known power exchange enterprises to cooperate and quickly enter the two rotation power market. However, due to market policy changes, the development of many shared electric bicycles was halted, coupled with the following three years, due to the relatively high price of lithium battery products themselves, and with the soaring price of lithium carbonate in 2021 and 2022, the price gap has further increased, resulting in a continuous reduction in the penetration rate of lithium batteries, as of 2023 down to 4.9%. The opportunity for in-depth cooperation between BYD and Jiangsu Zongshen lies in that, on the one hand, with the sharp decline in the price of lithium carbonate since 2024, the cost-effective advantage of lithium batteries has gradually become prominent; On the other hand, more importantly, since the beginning of this year, a series of policies to enhance the safety of electric bicycles have been intensively introduced, such as the revision of lithium battery national strong standard, 3C certification, enterprise whitelist, etc., which will greatly stimulate the rapid development of the two-wheeled lithium battery market. For battery factories, the current is undoubtedly an excellent opportunity to accelerate the layout of the two-wheeler battery market. In February this year, after the Nanjing electric bicycle fire incident, in order to promote the development of two-wheeled vehicles in a safer direction, The General Office of the State Council issued the "electric bicycle safety hidden dangers of the whole chain remediation action plan" to open the national electric bicycle safety hidden dangers remediation action. Then on February 25, BYD's Ferdi Battery released an article in its official wechat public number entitled "Radical Cure of battery safety hazards to protect the bottom line of people's livelihood safety", claiming to "develop safe batteries that can go upstairs". According to the article, "Based on the Nanjing 'February 23' fire accident, the Ferdi battery management team and the development team held an emergency meeting overnight to discuss quality and safety solutions for two-wheeled vehicles." After discussion, it was decided that Ferdi Battery will apply the research and development results of passenger cars to the field of two-wheeled vehicles, increase the research and development investment of two-wheeled vehicles, and collaborate with all parties to develop safe batteries that can go upstairs." It is understood that the "Safety technical specification for lithium-ion batteries for electric Bicycles" GB 43854-2024 (referred to as the "Lithium Battery National strong standard"), which will be officially implemented on November 1, Fodi Battery is one of the main drafting units and participated in the preparation of the national standard. In addition, Fodi Battery also became the first company to pass the "mandatory national standard assessment of lithium-ion batteries for electric bicycles". It is worth mentioning that in addition to lifepo4 batteries, Ferdi batteries also actively promote the application of sodium electricity in the field of two-wheeled vehicle charging and replacement. According to previous information, BYD plans to achieve a large cylindrical sodium ion battery electric two-wheeled vehicle charging and charging comprehensive application scenario pilot in Shenzhen, to achieve the intelligent integration of vehicles, cabinets and electricity. It is reported that the energy density of sodium batteries to be mass-produced this year is 105Wh/kg, and the long-term goal is 130Wh/kg or more. This means that in the future of the two-wheeler market, we can expect to see lighter, more durable and safer electric models.

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Research data from the Research Institute (SPIR) show that 2024H1 China's electric two-wheeled lithium battery shipments are 6.95GWh, and it is expected that the annual shipments will reach 13.6GWh. By 2025, China's two-wheeled lithium battery market will reach 15.9GWh. By 2030, it will grow to 38.1GWh, a compound increase of 19.1%. The curtain of the national standard era is slowly opening, and the industry is about to enter a new stage of compliance development. With the official implementation of the lithium battery national strong standard, the electric national strong standard, the charger national strong standard on November 1, the new national standard of electric bicycles is revised and will be implemented soon, 2025 can be regarded as the "first year of compliance" of the electric bicycle industry, the industry compliance will make great strides forward, and the compliant lithium enterprises will usher in great development opportunities. First, non-standard vehicle compliance will release a huge market increment. According to statistics, China's electric bicycle social ownership of more than 350 million, of which 2023 electric vehicle total sales of more than 50 million, of which 60-70% for the new national standard electric bicycles, and only 20% of the use of lithium batteries. According to industry forecasts, in 2024-2026, there will be 250-300 million non-standard vehicles in the country that need to be replaced with compliant vehicles, which will usher in a great market increase. Second, the power market ushered in a new outbreak. It is estimated that there are currently about 3 million to 3.5 million sets of replacement batteries operating in the market, most of which are 60V, 72V and other excessive batteries that do not meet national standards. At the same time, the construction of cities such as Beijing, Shanghai, Guangzhou and Shenzhen to change the power of the city, with the unified industry standard of two-wheel vehicle charging and replacing the power, the demand for lithium electricity in the future is expected to gradually increase. Third, in the face of competition in the domestic market, the development of overseas markets is the "only way" for the development of two-wheeled lithium battery companies in the future. Overseas two-wheel electric vehicle market has greater room for growth. According to the General Administration of Customs, China exported 14.25 million electric two-wheelers in the first eight months of this year, an increase of 43.4% year-on-year. Increasingly stringent emission standards in Europe and "oil-to-electricity" policies in Southeast Asia are undoubtedly promoting the development of electric two-wheelers. For example, Southeast Asian countries plan to eliminate fuel vehicles by 2040, and the future market capacity of electric two-wheelers and electric three-wheelers is as high as 60 million. Standing at a new starting point, China's lithium two-wheeled vehicle industry is experiencing a crucial change and opportunity, the standardization era of the two-wheeled lithium market, has begun to release its vigorous growth vitality. Riding on this east wind, the 2024 starting point of the lithium & two-wheel car power industry annual meeting will be held on November 6-7 in Shenzhen Shanyanhu Exhibition Center Hall A! Welcome industry leaders to share the event and explore a new chapter in the industry!