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As the Chinese New Year holiday approaches, different battery companies have different arrangements for holiday dates. For some companies, the holiday time is concentrated between statutory dates, but the holiday arrangements vary among different bases. Some bases of individual enterprises also have situations where they do not have holidays.

However, some companies started their holidays at the end of January due to their own orders and production arrangements, and their expectations for starting work in February were also scheduled after February 20th.

From the actual production situation in January, it can be seen that some battery companies intend to pre produce some orders for February. Therefore, despite the sluggish market in January, the battery production of some companies remained unchanged compared to the month on month period in December. However, considering that the rest of the companies will start their holidays at the end of January, SMM expects the actual battery production in January to decrease by about 5% compared to December.

The different holiday times in February also reflect the current differentiation of industries. For example, for Company A in the above picture, the company base is mostly closed during statutory holidays. The end dates are also distributed between February 11th and 18th. For Enterprise D, the company had already gone on vacation in the last week of January, and due to weak orders, there is currently no expectation of resuming production by the end of February. From the perspective of production scheduling, SMM expects a decrease of about 5% -10% in February compared to January, with some companies taking more than statutory holidays and some production orders being placed in January.

From the perspective of terminal energy storage market, the current demand is still relatively scarce. The lack of significant changes in terminal demand has kept the operating rate of enterprises at its lowest point. The panic and restocking sentiment caused by the Red Sea situation has also come to an end. Due to the fact that European distributors have stored energy storage cells for more than two months, the urgency of shipping transportation has weakened, and the demand for short-term replenishment has temporarily stabilized. Domestic energy storage in the first quarter is a traditional off-season. The probability of a significant rebound in overall market demand in the first quarter is relatively low.

In terms of power, the concentrated momentum of car companies in December showed a more significant decline in car sales in January. At present, both new power car companies and traditional car companies have announced their sales for the fourth week of January. From the previous four weeks, the sales of the top 10 new forces were 125400 vehicles, a decrease of 27.26% compared to the previous period. The top 6 traditional car companies sold 291500 vehicles, a decrease of 35.03% compared to the previous period. The impact of the traditional off-season demand has also led to the production of power battery cells based on sales, resulting in less additional inventory reserves. Moreover, due to the recent slight increase in raw material prices, some battery companies have advanced their March orders for positive electrode materials to January February, resulting in a relatively smooth increase in demand after the holiday.

Although the battery industry is currently experiencing multiple disturbances and its growth rate is lower than expected. However, a thousand sails pass by the side of a sunken boat, and ten thousand trees bloom before a diseased tree. The glamour has faded away, and the future is still promising.

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