An increasing number of mergers and acquisitions (M&A) are to arise in China’s lithium battery industry, according to Zhang Xiaofei, president of the Shenzhen Gaogong Industrial Research Institute.
Xiaofei said at the sixth Gaogong LiB Industry Summit that the booming development of electric vehicles (EV) in China will attract mass investments into the industry and encourage M&A across the entire industry chain.
China’s EV output grew 2.3 times year-on-year to 20,692 units in the first half of this year. In the second quarter, the country’s power battery output hit 1.15GWh, which is an increase of 84.5% from the same period of 2013, reports Xinhua’s China Economic Information Service.
A recent study by SinoMarketInsight states that China’s lithium battery exports have risen 18.6% year-on-year in 2013.
The Chinese lithium battery industry has already experienced significant M&A activity over the past months. Hong Kong-based metals and minerals investment firm Honbridge acquired Shandong New Energy, a Chinese lithium battery manufacturer in July this year.