Benefiting from the fast development of new energy vehicles and the energy storage industry, lithium iron phosphate has gradually gained the market as it’s safety and long cycle life. The demand is increasing crazily, and the production capacity has also increased from 181,200 tons/yr in the end of 2018 to 898,000 tons/yr in the end of 2021,with a compound annual growth rate of 70.5%, and the year-on-year growth rate in 2021 was as high as 167.9%.
The price of lithium iron phosphate is also growing fast. In early 2020-2021, the price of lithium iron phosphate is stable, about 37,000 yuan/ton. After a small upward revision around March 2021, the price of lithium iron phosphate increased from 53,000 yuan/ton to 73,700 yuan/ton in September 2021, 39.06% rising during this month. By the end of 2021,about 96,910 yuan/ton. In this year 2022, the price of lithium iron phosphate continued to increase. In July, the price of lithium iron phosphate is 15,064 yuan/ton, with an extremely optimistic growth rate.
The popularity of the lithium iron phosphate industry in 2021 has attracted a large number of companies to enter this industry. Whether it is an original leader or a cross-border player, brings the market expand rapidly. This year, the capacity expansion of lithium iron phosphate goes faster. At the end of 2021, the total production capacity of lithium iron phosphate was 898,000 tons/yr, and by the end of April 2022, the production capacity of lithium iron phosphate had reached 1.034 million tons/yr, an increase of 136,000 tons/yr from the end of 2021. It is estimated that by the end of 2022, the available production capacity of lithium iron phosphate in my country will reach about 3 million tons per year.
Due to the shortage of raw materials in 2022, the arrival of overcapacity will be delayed to a certain extent. After 2023, as the shortage of lithium carbonate supply gradually alleviates, it may face the problem of overcapacity.
Post time: Aug-04-2022