German VW: Invested in Guoxuan Hi-Tech: Northbolt, LG Chem, LIB partnership,
Volkswagen (VW):
On May 28, we acquired 26.47% of the issued shares of Guoxuan Hi-Tech, the third largest LIB in China for €1.1 billion.
Already, in LIB procurement, we have partnerships with Northbolt, LG Chemical, etc.
VW: Purpose of LIB investment
Why does VW invest in a Chinese battery maker?
The aim is to increase the EV lineup by stably procuring low-priced, safe and highly reliable batteries in China.
In China, gasoline passenger car manufacturers are obligated to produce EVs and other NEVs.
Therefore, each company needs to advance NEV production at a rapid pace.
Above all, stable procurement of LIB is an urgent issue for foreign automakers.
VW: China EV production plan
Currently, the number of high-tech LIB manufacturers in China is limited.
“If you control the battery, you can control the EV.”
Invest 4 billion euros in 2020,
Developed jointly with Shanghai VW and FAW-VW,
Utilize the world’s first MEB (EV dedicated platform)
We plan to produce and sell the new model/EV “ID.3”.
VW: China EV production capacity
EV production capacity of the above two companies is expected to total 600,000 in 2021.
VW is trying to hold a 20% share of the Chinese NEV market.
Therefore, considering the future demand for LIB, VW needs to procure necessary LIB from multiple manufacturers in China.
Guoxuan Hi-Tech: Research and Development
In 2008, established the Battery Research Institute, and currently has 2000 researchers.
Silicon Valley in America
Cleveland,
Bochum, Germany
Tsukuba, etc. in Japan
LIB research and development is conducted at seven bases in Japan and overseas.
LFP battery: supplied to Bosch Germany
Currently, the company has increased the density of LFP battery cells from 150 Wh/kg in 2017 to the current 200 Wh/kg, achieving a cruising range of over 400 km.
2019: Received an order equivalent to 50% of the total battery procurement volume of Geely Commercial Vehicle (Geely Automobile Subsidiary).
2020: Plans to supply battery modules and battery packs to Bosch, Germany.
In India, we will establish a joint venture plant with Tata Motors.
Trend | Toyo Keizai Online
https://toyokeizai.net/articles/-/354879?display=b
Chinese EV battery maker confirms talks with Volkswagen
2020/01/21
Guoxuan High-tech,a Chinese electric vehicle battery maker,
has confirmed it is in discussions with Volkswagen AG about a potential investment, as the German automaker accelerates its shift to electrification in its largest consumer market.
Why it matters:
Global automakers’ push toward electric vehicles will drive growth for Chinese auto suppliers like battery and component makers.
An equity partnership with a Chinese battery maker is expected to grant Volkswagen more bargaining power on battery prices and smooth out its supply,
giving it an edge against Tesla and its fellow German carmakers in China.
Electric vehicle batteries
account for as much as 50% of the total vehicle costs, driving EV prices higher relative to gasoline-powered vehicles, according to Chinese media reports citing TF Securities.
Guoxuan’s shares on the Shenzhen Stock Exchange rose 1.6% to RMB 21.01 by market close on Tuesday.
TechNode
https://www.google.co.jp/amp/s/technode.com/2020/01/21/guoxuan-volkswagen-investment-battery/