Chinese Economy Watch

[E-195]

Neither Mexico nor India can replicate America's success. This is not because they have low morals, but because of different national conditions, different cultures, different histories and different geography.

The US Department of Energy (DOE) transferred battery technology to a Chinese company in 2017 and 2021, which an NPR and Northwest News Network investigation found violated the DOE's licensing rules. The DOE allowed the technology and jobs to move overseas, and failed to intervene on behalf of US workers.


China has become a dominant player in the lithium battery industry, with a 70–90% share of the global market. China's success is due to:

• Investment: China has invested heavily in sourcing and manufacturing processes.
  
  
  
• Market share: China has the fourth-largest known lithium reserve, and has become the largest exporter of lithium batteries.
  
  
  
• Electric vehicle sales: Strong electric vehicle sales in China have expanded the company's footprint in the battery supply chain.

The U.S. made a breakthrough battery discovery — then gave the technology to China​

AUGUST 3, 20225:00 AM ET
HEARD ON ALL THINGS CONSIDERED
By

Courtney Flatt
,

Laura Sullivan


View: https://www.npr.org/2022/08/03/1114964240/new-battery-technology-china-vanadium

 

[E-195]

China only allowed foreign automakers to operate through JVs with enterprises that could not have majority foreign ownership (C2, s0-x5<em>+</em>-v4). Consequently, foreign automakers were effectively required to transfer their core NEV technologies to Chinese JV partners ([s0-x5<em>+</em>-v4, s0-x3<em>+</em>-v4 | s0-x2<em>+</em>-v3]) (Fig. 13a). The EU lodged a complaint with the WTO in 2018, disputing these rules for being inconsistent with Article 3, 28.1 of the WTO law (DU17, p.30). In 2009, the Automotive Industry Readjustment and Revitalisation Plan《汽车产业调整和振兴规划》(C6) defined China's NEV industry target. Specifically, it aimed to achieve an annual production capacity of 5 × 105 units by 2011 and increase the proportion of domestic products in the domestic market to over 40 % (s0-x4<em>+</em>-v4). These national industry targets were further revised in 2012 (C12, s0-x4<em>+</em>-v4). To reach these targets, China introduced a series of market subsidy policies (C8, C9, s0-x1<em>−</em>-v4) in 2009. However, as a precondition for access to these subsidies, under the Administration of Access for New Energy Vehicles, the MIIT mandated that for EVs to be eligible for sale, even if they were imported, a domestic Chinese firm must demonstrate proficiency related to the components of the EVs: battery, motor, and inverter (C7, s0-x3+-v4). Foreign firms were therefore forced to transfer technologies to local partners as compensation for access to the market subsidies ([s0-x1<em>−</em>-v4, s0-x3<em>+</em>-v4 | s0-x1<em>+</em>-v4]) (Fig. 13b). In 2011, the ratio of foreign investment was limited to <50 % for the manufacture of batteries for NEVs with Ecell ≥ 110 Wh·kg−1 (i.e., LiFePO4 or LiNi<em>y</em>Mn<em>x</em>M'(1-<em>x</em>-<em>y</em>)O2 batteries in practice) (C11, s1-x5<em>+</em>-v4).

The combination of C7 and C11 required foreign LiB producers that invested in China to transfer their manufacturing technologies ([s1-x5<em>+</em>-v4, s0-x3+-v4 | s1-x2<em>+</em>-v4]) (Fig. 13c). Through policies that strategically facilitated the transfer of batteries and NEV technology, along with market subsidy policies, the EV market in China surpassed that of the U.S in 2015 (Fig. 11). Domestic EVs powered by LiFePO4 batteries played a significant role in this growth (Fig. 8a).

Cross-national and cross-sectoral dynamics of innovation policies: The case of lithium-ion battery technology for electric vehicles in the U.S. and China

Sustainable technology increasingly relies on highly complex basic science, and basic research policies play a dominant role in the long-term process …

www.sciencedirect.com

Europe could be self-sufficient in battery cells by 2026 – if gigafactories don’t get cancelled​

More than half of planned plants are at risk of being delayed, scaled down or cancelled amid the global 'battery race'.

Europe could be self-sufficient in battery cells by 2026

More than half of planned plants are at risk of being delayed, scaled down or cancelled amid the global 'battery race'.

www.csofutures.com

• Europe can become self-sufficient in battery cells by 2026, and manufacture most of its demand for key components (cathodes) and materials such as lithium by 2030. But over half of gigafactory plans in Europe remain at risk of either being delayed or cancelled, down from close to two-thirds a year ago.
• 
  
  
  
• Onshoring the battery supply chain offers significant climate benefits: 37% reduction in carbon emission when using the EU grid, or 133 Mt of CO2 by 2030 compared to China. When relying on predominantly renewable energy sources, the reductions double to 62%.
  
  
  

  An industrial blueprint for batteries in Europe

  A new report explores how Europe can successfully build a sustainable battery value chain

  www.transportenvironment.org

The infrastructure moves bringing the US closer to lithium-ion self-sufficiency​

Localising battery production in the southeastern US is set to boost North America's energy transition by supplying crucial materials on a game-changing scale
A manufacturing complex taking shape in Augusta, Georgia, could play a key role in the development of the US’s lithium-ion battery industry. When complete, the site will be the largest production facility in North America for battery-grade polyvinylidene fluoride (PVDF), a vital cathode binding material for the lithium-ion cells used in electric vehicles and energy storage systems.

The infrastructure moves bringing the US closer to lithium-ion self-sufficiency

Localising battery production in the southeastern US is set to boost North America's energy transition by supplying crucial materials on a game-changing scale

www.ft.com

 

[helin]

China only allowed foreign automakers to operate through JVs with enterprises that could not have majority foreign ownership (C2, s0-x5<em>+</em>-v4). Consequently, foreign automakers were effectively required to transfer their core NEV technologies to Chinese JV partners ([s0-x5<em>+</em>-v4, s0-x3<em>+</em>-v4 | s0-x2<em>+</em>-v3]) (Fig. 13a). The EU lodged a complaint with the WTO in 2018, disputing these rules for being inconsistent with Article 3, 28.1 of the WTO law (DU17, p.30). In 2009, the Automotive Industry Readjustment and Revitalisation Plan《汽车产业调整和振兴规划》(C6) defined China's NEV industry target. Specifically, it aimed to achieve an annual production capacity of 5 × 105 units by 2011 and increase the proportion of domestic products in the domestic market to over 40 % (s0-x4<em>+</em>-v4). These national industry targets were further revised in 2012 (C12, s0-x4<em>+</em>-v4). To reach these targets, China introduced a series of market subsidy policies (C8, C9, s0-x1<em>−</em>-v4) in 2009. However, as a precondition for access to these subsidies, under the Administration of Access for New Energy Vehicles, the MIIT mandated that for EVs to be eligible for sale, even if they were imported, a domestic Chinese firm must demonstrate proficiency related to the components of the EVs: battery, motor, and inverter (C7, s0-x3+-v4). Foreign firms were therefore forced to transfer technologies to local partners as compensation for access to the market subsidies ([s0-x1<em>−</em>-v4, s0-x3<em>+</em>-v4 | s0-x1<em>+</em>-v4]) (Fig. 13b). In 2011, the ratio of foreign investment was limited to <50 % for the manufacture of batteries for NEVs with Ecell ≥ 110 Wh·kg−1 (i.e., LiFePO4 or LiNi<em>y</em>Mn<em>x</em>M'(1-<em>x</em>-<em>y</em>)O2 batteries in practice) (C11, s1-x5<em>+</em>-v4).

The combination of C7 and C11 required foreign LiB producers that invested in China to transfer their manufacturing technologies ([s1-x5<em>+</em>-v4, s0-x3+-v4 | s1-x2<em>+</em>-v4]) (Fig. 13c). Through policies that strategically facilitated the transfer of batteries and NEV technology, along with market subsidy policies, the EV market in China surpassed that of the U.S in 2015 (Fig. 11). Domestic EVs powered by LiFePO4 batteries played a significant role in this growth (Fig. 8a).

Cross-national and cross-sectoral dynamics of innovation policies: The case of lithium-ion battery technology for electric vehicles in the U.S. and China

Sustainable technology increasingly relies on highly complex basic science, and basic research policies play a dominant role in the long-term process …

www.sciencedirect.com

Europe could be self-sufficient in battery cells by 2026 – if gigafactories don’t get cancelled​

More than half of planned plants are at risk of being delayed, scaled down or cancelled amid the global 'battery race'.

Europe could be self-sufficient in battery cells by 2026

More than half of planned plants are at risk of being delayed, scaled down or cancelled amid the global 'battery race'.

www.csofutures.com

• Europe can become self-sufficient in battery cells by 2026, and manufacture most of its demand for key components (cathodes) and materials such as lithium by 2030. But over half of gigafactory plans in Europe remain at risk of either being delayed or cancelled, down from close to two-thirds a year ago.
• 
  
  
  
• Onshoring the battery supply chain offers significant climate benefits: 37% reduction in carbon emission when using the EU grid, or 133 Mt of CO2 by 2030 compared to China. When relying on predominantly renewable energy sources, the reductions double to 62%.
  
  
  

  An industrial blueprint for batteries in Europe

  A new report explores how Europe can successfully build a sustainable battery value chain

  www.transportenvironment.org

The infrastructure moves bringing the US closer to lithium-ion self-sufficiency​

Localising battery production in the southeastern US is set to boost North America's energy transition by supplying crucial materials on a game-changing scale
A manufacturing complex taking shape in Augusta, Georgia, could play a key role in the development of the US’s lithium-ion battery industry. When complete, the site will be the largest production facility in North America for battery-grade polyvinylidene fluoride (PVDF), a vital cathode binding material for the lithium-ion cells used in electric vehicles and energy storage systems.

The infrastructure moves bringing the US closer to lithium-ion self-sufficiency

Localising battery production in the southeastern US is set to boost North America's energy transition by supplying crucial materials on a game-changing scale

www.ft.com

It is impossible for Europe and the United States to bypass China and achieve self-sufficiency in electric vehicle batteries in 15 years,

 

[helin]

View: https://x.com/classcnbc/status/1861394483629191231


View: https://x.com/KojiTakan0/status/1861391059412230624

 

[E-195]

It is impossible for Europe and the United States to bypass China and achieve self-sufficiency in electric vehicle batteries in 15 years,

You are a bit slow. China got the technology by tech Transfers and they were allowed to be suppliers of the EV companies in China, first due to pollution, Lithium mining is very dirty and polluting, now the West will put a break to China, the dog is ready to go versus Russia but the dog will not fed more, when it comes to its time they will get rid of the dog, read my words you are too gullible, you are a primitive society, they gave you the tools to go versus Russia, but they will not let you go for the USA or Europe, the world elites they are just using you and with time you will see China is spendable.