AI-driven CE replacement boosts lithium battery market prospect is promising

CBHA - Battery Net, November 25 (Special Correspondent Qi Yuan) "With the consumer market picking up in 2024, the global small Li-Ion battery market will resume its growth trend. Notebook computers, smart phones, smart wearables and other fields will benefit from this and will experience growth of different scales." Mr. Pan Dangyu, Chairman of Shenzhen Highpower Technology Co., Ltd. (Highpower Technology, stock code: 001283), stated that Highpower Technology has been deeply involved in the consumer electronics market for over two decades, with its products are widely used in laptops, smart wearables, smart phones, personal care, smart homes, and other fields. At the same time, under the global trend of carbon neutrality, Highpower Technology firmly believes in the field of energy storage sector. With the commissioning of the Tonghu energy storage cell production base, Highpower Technology is set to embark on its second growth curve.

According to official information, Highpower Technology was founded in 2002 and specializes in the R&D, design, production and sales of lithium-ion and nickel-metal hydride (Ni-MH) batteries. Among them, the company's production of Ni-MH batteries leads the world market for small Ni-MH batteries, with a share ranking among the top globally. At the same time, the company has already ranked among the top ten global companies in terms of small soft-pack lithium-ion batteries (by shipments) in 2022.

With the popularization of AI, the Internet of Things, big data, cloud computing, and 5G, consumer electronics terminal products are increasingly pursuing intelligence and portability. More innovative products will emerge in the consumer electronics market, and the market outlook is promising. "AI will usher in numerous new changes. 2024  marks the dawn of the AI era. In the new application scenarios, traditional electronic products will be upgraded and replaced, not only laptops and mobile phones, but also more new smart terminal products will emerge, such as AI glasses, AR glasses, VR and other wearable hardware," said Pan Dangyu. "Highpower Technology will continue to focus on the consumer electronics market, which is a just-in-demand product that is closely related to people's lives and work and has great demand potential."

As for the application fields of Ni-MH batteries, the traditional retail consumer market lacks new demand momentum. However, Ni-MH batteries, as a type of battery with an energy density close to that of  lithium-ion batteries and the advantages of ultra-high safety, wide temperature range, environmental friendliness and high cost-effectiveness, they can open up new market demand in fields such as road and rail transportation, aviation and shipping. Pan Dangyu said, "Highpower Technology will also continue to promote the structural upgrading of Ni-MH products and further enhance product profitability through R&D innovation.

The current Li-Ion battery market is extremely competitive, and corporate development is under pressure. Pan Dangyu believes that whether it is consumer batteries, energy storage batteries or power batteries, the market demand for mid- to high-end products remains strong. Although consumer products place more emphasis on high energy density and fast charging technology, and energy storage products and power batteries place more emphasis on cost performance, safety and reliability remain paramount challenges faced by the battery industry.

Pan Dangyu introduced that Highpower Technology focuses on technological innovation and adopts "planning for one generation, reserving for one generation, developing for one generation and applying for one generation" as its research and development policy. It has established a four-tiered research and development system with forward-looking research, development of new materials, new processes and new equipment, development of new platforms, and design and development of new products as its main content. It closely integrates theoretical research, platform development, design development, and manufacturing to achieve multi-departmental cooperation. As of September this year, Highpower has obtained 798 authorized patents and mastered key technologies in the industry, such as "high energy density battery technology", "battery electrolyte technology" and "key technologies for high safety batteries", and has built up certain technology reserves in fields such as steel shell laminations, silicon carbon anodes and solid-state batteries, enabling it to develop customized products for strategic customers.

Looking to the future, Pan Dangyu emphasized that the pursuit is not about scale and speed, but about improving product safety and stability in a down-to-earth way. Highpower has always adopted a TO-B business model. In response to the needs of the world's top 500 and top 10 brands in niche segments, Highpower conducts joint research and development with customers based on specific analysis of the product application scenarios of various customers. At the same time, by collecting more data from customers and the market as input for R&D needs, Highpower is able to continuously improve the relevance and core competitiveness of the company's research and development, and thereby enabling the company to steadily increase its global market share.

"As early as 2003, Highpower Technology ventured into the overseas market, and currently 80% of the company's brand customers are still overseas brands. We have a deep understanding of international trade regulations and market environments, which is a unique advantage of the company," said Pan Dangyu. "Highpower also attaches great importance to ensuring the continuity of its supply chain operaions and carries out a global layout to ensure business continuity and supply, and create value for customers in the face of any difficulties and challenges." In the future, Highpower Technology will continue to focus on its core consumer business and seek to cooperate with more internationally influential big-name brands to expand its market share in more consumer markets with high growth potential. At the same time, it will fully utilize the existing production capacity of the energy storage business and follow the logic of the consumer business going global to stabilize and optimize the energy storage business. It is believed that in the next 3 to 5 years, Highpower Technology will also occupy a significant postion in the energy storage market.

*Source: CBHA - Battery Net, 25 November, Special Correspondent - Qi Yuan Guangzhou Nansha reported

*Original link: https://www.itdcw.com/news/ycnews/11251450602024.html