South Korea Third Battery Enterprise SK Is To Buil Factory In China

- Nov 30, 2016-

In November 25th, South Korea's third largest conglomerate SK group company SK Innovation (hereinafter referred to as SKI) announced in China to suspend its joint venture partner in Chinese and the construction of new energy automotive battery plant project.          

South Korea SKI said it was taking into account China's 2017 "automobile power battery industry norms conditions" (Draft) from time to time to make decisions.          

In the mentioned 2017 "automotive battery industry norms conditions" (Draft), is shortly before November 22nd, the Ministry's official website announced the "automobile power battery industry norms conditions" (2017) draft.          

According to the basic requirements of the "auto draft" of a single enterprise, clear requirements of lithium-ion power battery production capacity of not less than 8 billion kwh, nickel metal hydride battery monomer enterprises with an annual capacity of not less than 100 million watts, super capacitor single enterprises with an annual capacity of not less than 10 million watts. System of enterprise with an annual capacity of not less than 80000 or 4 billion watts. Production of a variety of types of power battery monomer enterprises, system enterprises, the annual output capacity to meet the above requirements.          

While the other two South Korean factories in China's battery industry, Samsung SDI and LG chemical will be adversely affected, because the two annual production capacity of 2 billion -30 billion kwh, 8 billion kwh standard minimum distance is 5 billion kwh. South Korean battery enterprises in China if you want to reach the standard, then the production capacity will be increased by 3-4 times.          

As a minimum of third groups of South Korea's SK Group's company SKI if you want to reach the Ministry draft requirements must reach 8 billion watts.          

Car predicted by South Korea SKI company found that SKI is in 1996 to start the development of lithium ion batteries, has built lithium-ion polymer battery production line, the production of consumer electronics batteries, power batteries. At present, the SKI power battery base is located in the south of the Han mountain, started construction in 2012, initially put into operation in 2011. The regular annual production capacity of only 200 million kwh, according to the plan, SKI will be in 2020 Ruishan base production capacity to 3 billion kwh, far below the China ministry requires 8 billion kwh. Only SKI is currently in South Korea's production capacity requirements are not up to the requirements of the Chinese Ministry of.          

The other two battery enterprises in South Korea SamSung SDI, LG chemical factories in China for example, invested $600 million and $500 million. With this money the highest capacity up to 3 billion kwh, referring to South Korea's SK group that in last year's operating income, SK group $506 million 600 thousand in losses in 2015, if you want to invest in China and build factories is not a small investment for the SK group in terms of these practical factors also had to SKI the plan to build a factory temporarily stranded.          

Through the above analysis, we can conclude that South Korea SKI both in capacity or in the capital investment, to build a factory in line with the Ministry of industry standards and requirements can be said is very difficult. But South Korean battery companies are not willing to give up the Chinese new energy vehicle market is rising. According to the automobile association data show in October before the new energy of the total sales reached 337 thousand vehicles, an increase of 82.2%.          

In addition to South Korea by combing SKI that SKI products have become the German Daimler (Daimler) group, MITSUBISHI (MitsubishiFuso), Mercedes Benz (Mercedes-Benz) and the KIA Group International Automobile Company suppliers. South Korean battery is not going to miss China's emerging new energy market.          

According to South Korean battery enterprises in China, the emergence of these problems, as early as June 28th of this year, Chinese Premier Li Keqiang and South Korean Prime Minister Huang Ann held talks in the Great Hall of the people in Beijing, Huang an three yuan China request to actively solve the lithium battery situation, Li Keqiang said it would study the solution. This shows that Korean battery want to achieve through diplomatic means, but the current situation shows that this action does not work together.          

Currently, in 2017, in accordance with the Ministry of industry announced the car power battery industry norms conditions (Draft) requires only two companies BYD and Ningde times.          

Since May this year, the Ministry released the new energy automobile production enterprises and product access management rules (revised version of the draft), and repeatedly announced the battery directory, Japan and South Korea have not entered the battery. Some analysts have pointed out that this is a good opportunity for domestic enterprises to create a new energy automotive market development opportunities, this period is about 1-3 years. Korean battery is not to give up the new energy market in China, they will sooner or later to meet the national requirements of the automotive power battery industry norms conditions standard.

SNL is a professional lithium ion battery supplier in china, we have a professional team in making all aspects better and better, our products are: 

Contact: Doris

Tel: +86 186 6567 6364

Email: info(at)

Skype: dorisluo2012

Whatapp: +8618665676364,113.9159113,16z/data=!4m12!1m6!3m5!1s0x340392f0f6365b7d:0xfb2f860e14c76e1a!2z5oGS6LaF5bel5Lia5Zut!8m2!3d22.675111!4d113.919973!3m4!1s0x340392f0f6365b7d:0xfb2f860e14c76e1a!8m2!3d22.675111!4d113