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The reporter visited the battery retail market and found that although Henan is a major province in the sales of electric vehicles, the price and market of batteries are difficult to match. Luo Jiening stated that the source of this price war will go back to the national environmental protection special campaign in 2011, when battery companies were investigated, more than 500 were shut down nationwide, and more than 400 were shut down for rectification, resulting in a period of battery shortage. Stimulated by this, some large companies have rapidly expanded their production capacity through mergers and acquisitions, outsourcing, and other forms, resulting in current overcapacity and oversupply. Therefore, in order to sell inventory batteries, price wars have become a necessary promotional tool.

In the battery market, the reporter saw a significant decrease in the price of the main selling batteries, which is nearly 200 yuan compared to the historical high. A representative of Chaowei Battery stated that recently, a set of 48V12A batteries were priced at 240 yuan and 48V20A batteries were priced at 440 yuan. Although they were notified that the prices would increase to 280 yuan and 480 yuan respectively on the 9th of this month, compared to the previous prices of 430 yuan and 600 yuan, it is really difficult to compare with them.

It is understood that Tianneng and Chaowei Group, as two leading companies in the industry, account for 80% of the national battery market share. As of now, they have suffered losses of 300 million yuan and 28 million yuan respectively, accounting for approximately 31.75% of the industry's losses.

Xu Guanhui, Sales Manager of Anyang Dynamic Source Battery Co., Ltd., stated that a short-term price war can directly benefit consumers, but in the long run, as prices gradually approach costs, the company will have no profit to make.

Is the consumption tax the last straw that kills the company again?

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