The cooperation foundation of SAIC and Ningde era laid a foundation for investing more than 10 billion yuan in new energy batteries

On June 19, 2017, SAIC Group and the Ningde Times held a groundbreaking ceremony for the industrialization cooperation project in Liyang, Changzhou, Jiangsu Province. The two parties invested in the battery field of new energy vehicles with a scale of over 10 billion yuan, and they will follow world-class and domestic leading standards. To build a highly intelligent, green and environmentally friendly production base for batteries and battery systems, and actively promote the transformation and upgrading of China's auto industry.

Recently, SAIC Power Battery Co., Ltd. (SAIC) and SAIC-Times Battery Systems Co., Ltd. (Shangqi Times) jointly funded the establishment of SAIC and Ningde Times. SAIC Motor has a registered capital of RMB 2 billion and is mainly engaged in the development, production, sales and after-sales service of lithium ion batteries and lithium polymer batteries. The registered capital of SAIC Times is RMB 300 million and it is mainly engaged in the development, production and sales of power battery systems.

The foundation stone of SAIC and Ningde era cooperation projects

It is understood that SAIC's advanced power battery system industrialization project and SAIC's advanced power battery industrialization project were jointly invested by SAIC and Ningde, planning to build a 30kWh power battery production base with a total capacity of over 30GWH in Zhongguancun Science and Technology Industrial Park, Jiangsu Province. About 2007 acres, the main customer is SAIC Motor Corporation.

In the first phase of the project, a total investment of 10 billion yuan will be planned, covering an area of ​​about 800 acres, and a power capacity of 18GWH will be formed. Among them, the power battery project covers an area of ​​about 650 acres, a total construction area of ​​about 320,000 square meters, plans to put into production by the end of 2018. The power battery system project covers an area of ​​about 150 acres, with a total construction area of ​​about 40,000 square meters. It is planned to start production in June 2018. It is expected that by 2020, the joint venture company will form a 36GWH power battery production capacity.

In the future, the joint venture company will become a supplier to all subordinate new energy automobile companies within SAIC Motor Corporation. Both SAIC Motor’s own brands and SAIC Motor’s joint ventures can purchase power battery products from the joint venture company. At the same time, there is also the possibility of opening up to other new energy vehicle manufacturers.

According to the plan of SAIC, in the next five years, more than 20 billion yuan will be invested in new energy, and more than 30 new products with advanced international standards will be put into service. By 2020, the company will strive to achieve a sales target of 600,000 units. This cooperation is a cooperation of SAIC Group. "The new four modernizations" in the "electrical" strategic deployment and the specific implementation.

The relevant personage of SAIC Group stated that through cooperation with Ningde, SAIC's industrial structure in the new energy field will be more complete, it can effectively solve the production capacity reserve, reduce costs, complement each other and innovate, adjust the product structure for the overall upgrading of the company, and maintain the sustainable development of the company. The ability to provide a solid foundation.

People in the automotive industry believe that the cooperation between the leading companies in the vehicle industry and the leaders in the field of battery components will actively promote the development of China's new energy core technologies and shape the new energy industry structure.

According to statistics, SAIC Motor Group is China's largest auto group. In 2016, the total vehicle sales reached 6.489 million units, total operating revenue was 7544.116 billion yuan, and the net profit attributable to shareholders of listed companies was 32.009 billion yuan. The Ningde era was established in 2011. In 2016, Ningde Times shipped 6.8 GWh (6.8 billion watt-hours), making it the largest power battery manufacturer in China.

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