China's new-energy industry is large and complex, with resilient supply chains and strong risk-resistance capacity, making the country irreplaceable in the global industry chain despite fierce international competition and growing geopolitical tension, industry insiders said at the 2023 World Power Battery Conference on Saturday.
China's power battery ecosystem continues to improve, it has world-class new technologies such as solid-state batteries and sodium-ion batteries, and its product competitiveness and market recognition have leading positions in the international industry, Luo Junjie, executive vice president of the China Machinery Industry Federation, said at the conference.
He said that the resilience of the new-energy industrial chain and supply chain in China has improved notably. "The supply of key raw materials and components for power batteries, including cathode materials, anode materials, diaphragms and aluminum foil as well as recycling and charging pillars, are basically world-leading," Luo said.
From raw materials to power batteries and fully assembled cars, China's new-energy sector has developed into a solid and diversified system characterized by close cooperation among numerous enterprises, which makes the sector resilient to external risks and flexible enough to adjust to the external environment, Chen Lizhi, chairman of Nuode New Materials Co, said at the conference.
However, the US continues to ramp up efforts to push China out of the global electric vehicle supply chain by imposing restrictions and cracking down on Chinese enterprises in terms of key minerals, advanced manufacturing equipment and market entry. For example, the Associated Press reported that the US and Japan have reached a deal on trade in critical minerals for electric vehicle batteries so as to cut reliance on China for the strategically importance resources.
China still faces challenges in the supply security of key raw materials and fierce competition from major Western countries in new technologies, according to Luo Yun, chairman of Yibin Tianyuan Group Co.
Risks and challenges related to stable supplies of key raw materials such as lithium, nickel and cobalt may become an acute problem within 10 years, as the degree of China's import dependence for these key metals is above 70 percent, he said at the conference, noting that China should step up support for the research and development of cutting-edge lithium battery and next-generation key battery technologies.
As the power battery has become a strategic high ground for international competition, the country should continue to strengthen guidance by national strategies, accelerate the building of a modern Chinese new-energy system and constantly break obstacles to international cooperation to achieve the high-quality and long-term sustainable development of China's electric battery sector, according to Luo Yun.
"US trade protectionism and the EU's tariff measures, along with complex geopolitical tensions, pose market access risks for China's lithium battery products," Chen said, noting that Chinese enterprises should strengthen new-energy cooperation with countries and regions along the Belt and Road Initiative to explore new markets.
China should also avoid reliance on any individual country or region for key minerals and make full use of global resources to strengthen the resilience of the country's lithium battery industrial and supply chains, he said.
The conference was held in Yibin, Southwest China's Sichuan Province from Thursday to Sunday, attracting 338 enterprises. A total of 64 deals were signed at the conference, with a total value of 106.3 billion yuan ($14.91 billion).
Of the total, 53 projects are new-energy projects represented by power batteries, according to media reports.
（Picture: Veer）
