Lithium iron phosphate: The winner is still unknown.

Lithium iron phosphate: The winner is still unknown.

In the Book of Jin, Shi Le Zai Ji: "If I were to meet Emperor Gao, I would act in the north; compete with Han and Peng to be the first; if I were to encounter Guangwu; if I were to drive both in the Central Plains; it is unknown who will win the battle."

Definition: It means that one does not know who the political power belongs to. Later also used to refer to the unknown winner, often used to refer to the outcome of a competition.

The utilization rate of lithium iron phosphate production capacity is not high, but overall it remains stable. Except for the months affected by the Spring Festival holiday, the overall utilization rate of lithium iron phosphate production capacity has fluctuated between 30% and 60% since January 2023.

In the first half of 2024, the production of lithium iron phosphate reached 989000 tons, a year-on-year increase of 43.7%. From the perspective of growth rate, it is still quite promising, which is nearly 10 percentage points faster than the 34.3% growth rate for the entire year of 2023. The competitive landscape is yet to be determined.

Compared with 2023, the competitive landscape of the lithium iron phosphate market in the first half of the year has shown significant changes, mainly reflected in the following three points:

One is that among the top 5 leading enterprises, only Changzhou's lithium source market share has increased from 7.5% to 8.1%, while other enterprises have remained unchanged or decreased;

The second is that some tail end old enterprises represented by Jiangxi Shenghua and Taifeng have made efforts, resulting in a significant increase in market share.

The third is the emergence of new enterprises with strong comprehensive strength, especially represented by Sichuan Langsheng, Dangsheng Technology, GCL Lithium Battery, Wanhua Chemical, Changyuan Lithium Technology, and Shuneng Mineral.

In summary, the lithium iron phosphate market is currently facing issues of low capacity utilization and fierce competition. However, the overall development is still at a high speed, and the cake is getting bigger and bigger. At present, the market pattern is not stable, and many participants still have the possibility of sudden rise. The winner is still unknown.