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Currently, the new energy vehicle industry in Europe is developing rapidly. In the first three quarters of 2020, the sales of new energy vehicles in Europe reached 880000 units, a significant increase of 195% year-on-year. And the sales volume in the fourth quarter is still booming, and it is expected to surpass China and become the world's largest new energy vehicle market. According to PwC, the sales share of new energy vehicles in the European market will reach 67% by 2035.

In this situation, the strong market demand has led to an increase in the production gap of lithium-ion batteries for power in Europe. Volkswagen expects its company to require 150GWh of power lithium-ion batteries in Europe alone by 2025, and the French government also predicts that the demand for power lithium-ion batteries from local car companies will reach as high as 170GWh by 2030. According to market research company SNE, the demand for electric vehicle batteries in Europe is expected to be 406GWh by 2023, while the supply is expected to be 335GWh, with a shortage of about 18%; By 2025, the supply shortage will expand to about 40%.

Ningde/Funeng/Honeycomb/BYD/Yiwei/Xinwangda/Wanxiang Wins International Big Order

As the saying goes, 'Wolves travel thousands of miles to eat meat, eagles strike thousands of miles to fly'.

It is obvious that the reason why China's "Tiger Wolf Master" of power lithium-ion batteries has traveled thousands of miles to Europe to build factories is undoubtedly due to the huge demand gap for power lithium-ion batteries brought by the electrification of European car companies. However, this is only one aspect of the reason. On the other hand, the most direct reason is that most of these battery companies have received orders from European car companies.

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