China BAK Battery, one of the top global manufacturers of lithium-based cells that are an essential component of the rechargeable batteries that go in all our cell phones, smart phones, and laptops, as well as electric vehicles (EVs) and uninterruptable power supplies, recently reported reception of a $1.9M NDRC/MIIT subsidy for the company's battery module project (the National Development and Reform Commission and the Ministry of Industry and Information Technology are key Chinese bodies that shape national economic/social development).
This is a huge endorsement for CBAK from key government officials in support of the company's leading battery lithium battery cell technology, which is increasingly seen as fundamentally critical to advancing everything from electric bicycles and EVs, to more industrial applications like storage arrays and fixed electric motors.
Also in the announcement by CBAK was great news for China's massive, underserved bike/e-bike market, with new orders from the company's e-bike customers, as the company looks to deliver some 12k high-power lithium-ion battery units by the end of April. With the government looking to back the company's play and a healthy set of orders to fill, CBAK is extremely well positioned to continue expanding its solid position in the lithium battery space, opening up the potential expansion/refinement of the some 3M plus square feet of production infrastructure under the company's belt.
Chairman and CEO of CBAK, Xiangqian Li, pointed to award of the NDRC/MIIT subsidy as precisely the kind of glowing endorsement from the Chinese government for the company's continued operations that it is, given in recognition of the lasting contributions made and soon to be made to the China's thriving EV/e-bike markets.
The global demand for lithium-based batteries is immense, with some 1.2B active mobile-broadband subscriptions worldwide and Asia leading the pack as the top region for saturation of the technology, CBAK is sitting at the crossroads of huge growth potential. The global lithium-ion or Li-ion market is expected to reach a whopping $43B by 2020, accounting for all sources, and CBAK is in an enviable position with a robust, cost-effective manufacturing footprint.
Xiangqian Li was also keen to point out that the grant would be largely applied directly to advancing quality of the product, as well as helping to solidify the company's position within the larger EV/e-bike industry, as CBAK readies for the growth potential, prepping logistical channels for increased activity.
CBAK churns out an impressive 1.5M pieces per day with its huge manufacturing footprint and generates annual sales revenue upwards of $238M (RMB 1.5B). With research infrastructure in Shenzhen, Tianjin, and Vancouver, CBAK is not only leading the manufacturing space with vast technological experience/expertise, the company is on the forefront of innovation as well, emphasizing the introducing not only of new technology, but of what CBAK sees as the fundamental driver, talents. The company is dedicated to merging top personnel with advanced equipment and is capable of handling over 30 types of key reliability/safety experiments at its research/testing facilities.
Xiangqian Li emphasized the growing body of exceptional minds and the vast experience represented by CBAK's personnel, underscoring the analytical capabilities thereof as the most important vector in the overall growth component for market share. Indeed, with some 12 experimental stations at its research facilities dedicated to helping expand the 80 plus acquisition channels available to CBAK, the company possesses the tools and the talent necessary to produce the ultimate synergy in lithium battery materials/products innovation.
For more information on the announcements, or to learn more about China BAK Battery, please visit the company's website at: www.bak.com.cn
Please see disclaimer on the MissionIR website http://www.missionir.com/disclaimer.html