Energy storage orders continue to boom
The global energy storage market ushers in an outbreak
In 2022, under the guidance of policies and markets, the global energy storage market ushers in an explosive period. Upstream and downstream energy storage companies welcome opportunities.
Since the beginning of this year, most energy storage companies have placed full orders for related products. Many companies have scheduled their orders for production by the middle of 2023, and are now speeding up the process of ensuring delivery.
It is reported that at present, the upstream materials of lithium iron phosphate battery cells are in a tight balanced supply state, and the energy storage system is in short supply. The daily output of the production line is more than 10 megawatt hours, and the daily demand for battery cells is more than 13000. The order and delivery quantity is about twice that of the same period last year.
In terms of energy storage equipment, European household storage drives demand growth. The average shipment volume of many Chinese lithium battery energy storage equipment export companies increased by 120% year on year, and the production line was in full load. It is estimated that the compound annual growth rate of the global energy storage market will remain above 70% in the next five years.
Chinese companies accounted for a higher proportion of household energy storage orders
From the perspective of order volume and value proportion, in 2022, Chinese companies will receive a relatively high proportion of household energy storageorders from other countries. It is estimated that the total installed capacity of European household storage market will reach 34GWh in 2025.
Among Chinese manufacturers, the leading suppliers of electric cells, such as CATL, BYD, Great Power, Pylon Tech, account for a high proportion, and the global business is progressing smoothly. companies such as Kehua Data, Goodwe, Solis, etc. have laid out household storage converters and cultivated the global market. In addition, Kstar, Hiconics, etc. are also laying out the European household energy storage market.
At the same time, China’s energy storage market is growing rapidly. According to statistics, in October alone, 189 energy storage projects in China opened bids. The bidding content includes procurement of energy storage power station EPC, energy storage system, energy storage battery, etc. The total bid opening scale exceeds 20.28GWh. It is estimated that the global market demand for large reserves will exceed 400GWh in 2025.
From the perspective of the battery cell factory, in 2022, the orders for battery energy storage soar, represented by CATL, BYD, Gotion High Tech, EVE, Great Power, Fast East , and the energy storage business will become the second growth level.
In October this year, CATL successively signed two large orders for energy storage projects in the United States, including one of the largest photovoltaic energy storage projects in the United States. Previously, BYD disclosed that by October 2022, BYD energy storage had shipped about 3.6GWh in the US market.
EVE disclosed on October 27 that the company’s energy storage orders in hand far exceed the company’s sales capacity, and will continue to face the problem of resource allocation or capacity allocation next year.
Sunwoda also said on November 18 that the installed capacity of the company’s energy storage system in 2020, 2021 and the first half of 2022 were 0.8GWH, 1.5GWH and 1.2GWH respectively, and this year’s installed capacity is expected to continue to grow rapidly.
In October, Gotion High Tech also announced that its subsidiaries had won 800 million RMB in energy storage projects. At present, the company’s energy storage business is in a state of oversupply, and its capacity has been expanding.
Energy storage companies accelerate production expansion
Facing the broad market space of energy storage, in order to meet the downstream energy storage demand, the energy storage company industry, on the one hand, promotes the strong alliance in the industry, and deeply cooperates to explore the energy storage mode; On the other hand, we spent a lot of money to accelerate the expansion of production to seize market share.
For example, in early September, CATL and SUNGROW discussed global cooperation in energy storage and other new energy fields and signed a strategic cooperation agreement; Gotion High Tech has successively cooperated with Jinko Solar, Wenergy, SUMEC and other companies.
EVE subsidiary signed a strategic cooperation agreement with Goodwe; Great Power has also successively cooperated with TGEE, POWERCHINA, etc. in energy storage.
In terms of expansion of energy storage projects, first, on behalf of old power battery manufacturers such as CATL, Great Power, CALB, EVE, Gotion High Tech and Sunwoda, they rapidly expanded production of energy storage batteries.
Second, 10 billion energy storage battery expansion projects of battery companies focusing on energy storage, such as Hitium, HIGEE and ZTTEK, have been implemented frequently to accelerate their participation in the energy storage field.
In addition, energy storage Integration companies and downstream related companies have also started to integrate the layout upward, increasing the energy storage cell capacity layout, such as Pylon Tech, Trina Storage, ZTT, etc; Nanfang Black Sesame, Longking, Shenghong Group and other cross-border companies have also joined in energy storage battery production expansion.
Energy storage is concerned by all parties’ capital
According to statistics, since this year, more than 100 new energy storage related companies have been established with a registered amount of more than 45 billion RMB, including 43 new energy storage technology service companies and 54 new battery companies. For example, on November 21, 2022, CATL established a new energy storage development subsidiary with a registered capital of 120 million.
On the other hand, among the newly established energy storage companies in China since 2022, many companies such as CHN Energy, SPIC, CDT, ENERGY CHINA STDC, CTG, State Grid Corporation of China have also taken part in the investment.
Large Chinese companies entering energy storage will, first, inject new vitality into the concept of energy storage in the capital market and attract more investors to pay attention to the development of new energy storage.
On the other hand, we should join hands with the leading energy storage companies to promote the electrochemical energy storage field, which is conducive to accelerating the implementation of energy storage projects and promoting the further development of industrial chain companies.
At the same time, from the perspective of financing companies, since this year, there have been nearly 130 investment and financing events in the field of energy storage batteries and materials, and the scale of investment and financing has exceeded 100 billion RMB.
An obvious trend is that strategic investors continue to be optimistic about forward-looking energy storage technologies. From the perspective of energy storage category, the number of lithium battery energy storage financing companies is the largest, and the number of liquid flow battery, sodium battery, compressed air and other companies is gradually increasing.
From the perspective of energy storage scenario, industrial and commercial energy storage and portable energy storage financing demand is strong, and there are many companies favored by capital. Such as Hitium, a lithium battery company. In October, Hitium officially completed round B financing, with the financing amount exceeding 2 billion RMB.
In the sodium electricity sector, HiNa Battery, Transimage, etc. are the focus of capital. Among them, the latest round of financing of HiNa Battery was led by Huawei’s investment companies, and the accumulated financing amount exceeded 100 million RMB, ranking the forefront of the industry.
From the perspective of energy storage scenario, industrial and commercial energy storage and portable energy storage financing demand is strong, and there are many companies favored by capital. Many companies have completed rounds A and B of financing, and a large number of new companies have emerged.