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However, in recent years, the booming development of the new energy market has led to a geometric increase in the business volume of upstream power battery manufacturers. In the process of rapid development, manufacturers have to some extent neglected the safety of the power battery itself.

And it is worth noting that currently, LG Chemical, Panasonic, and Ningde Times, the world's leading power battery suppliers, are all in line for ternary lithium batteries. As is well known, there have always been two major technological routes for new energy vehicle power batteries. One is the ternary lithium battery, which has the advantage of high energy density but poor safety; The other is lithium iron phosphate battery, which has the advantage of high safety but poor energy density.

Therefore, in the technological path followed by anchoring the development of enterprises, many companies often choose to produce ternary lithium batteries with higher risks in order to ensure that their vehicles meet the range specified by relevant regulations in the target market. After all, the shortcomings that plague the energy density of lithium iron phosphate batteries ultimately lead to a lack of product range, which in turn leads to failure in market competition.

The most representative example is our local battery supplier, Ningde Times. After the impact of lithium iron phosphate batteries on ternary lithium, it chose a conversion technology route and entered the supplier system of major new car manufacturing forces with ternary lithium batteries.

Similarly, Ningde Times cannot avoid the embarrassment caused by vehicle spontaneous combustion accidents. For example, the multiple spontaneous combustion accidents of NIO ES8 that occurred in May and June 2019 forced NIO to reclaim 1/4 of the delivered volume of ES8 at that time; In August 2020, a Xiaopeng G3 in Guangzhou caught fire and exploded twice, also carrying Ningde Era batteries.

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