According to CIAPS statistics, from January to April 2024, the export volume of lithium-ion batteries was 1.17 billion units, a 3.8% increase from the previous year. During the same period, the export value of domestic lithium-ion batteries reached $17.497 billion, a 17.8% decrease compared to last year. Specifically, in April 2024, the export volume of lithium-ion batteries was 287 million units, a 2.2% decrease from last year, and the export value was $4.299 billion, down 19% year-on-year.
Reasons Behind the Continuous Decline in China's Lithium-ion Battery Export Value
The continuous decline in export value can be attributed to several factors. According to various statistics, export values have decreased for four consecutive months, primarily due to a significant drop in lithium carbonate prices since last year.
In 2023, the price of battery-grade lithium carbonate fell by over 80%, leading to a sharp decline in prices across the entire lithium-ion battery supply chain. Specifically, the prices of power batteries dropped by more than 44%, and NCM batteries (lithium iron phosphate) fell by over 54%. According to data from ICC Information, as of April 28, 2024, the average prices of NCM batteries (lithium iron phosphate), prismatic NCM batteries, and lithium-ion batteries for energy storage (lithium iron phosphate) were 0.375 yuan/Wh, 0.465 yuan/Wh, and 0.405 yuan/Wh, respectively, reflecting declines of 12.79%, 9.71%, and 7.95% compared to December 29, 2023.
Additionally, the IRA Act has impacted our lithium-ion battery exports, with export volumes to the U.S. decreasing by 52.8%. The export structure of our products is also undergoing changes. Therefore, it is crucial to closely monitor the effects of the IRA Act on our lithium-ion battery exports.
Export Structure of Lithium-ion Batteries
From January to April 2024, China's total cumulative exports of power batteries and other batteries reached 41.5 GWh, showing a cumulative year-on-year growth of 5.5%. Power battery exports totaled 37.1 GWh, reflecting an 8.2% year-on-year increase, while other battery exports amounted to 4.4 GWh, a 12.9% year-on-year decline. Power batteries accounted for 89.4% of total exports, with other batteries making up the remaining 10.6%. Combined, these exports represented 17.4% of total battery sales for the first four months of the year.
In April alone, China exported 12.7 GWh of power and other batteries, marking a 3.4% year-on-year increase and a 28.5% rise from the previous month. Specifically, power battery exports were 9.0 GWh, down 24.3% from the previous month but up 1.7% year-on-year. Exports of other batteries surged to 3.7 GWh, representing an 843.7% increase from the previous month and a 259% year-on-year growth. In April, power batteries and other batteries accounted for 70.9% and 29.1% of the total export volume, respectively. Their combined exports constituted 17.3% of the month's total battery sales.
Data of Major Export Regions
According to the Shenzhen Battery Industry Association, in the first four months of 2024, Asia, Europe, and North America were the top three export regions for China's lithium-ion batteries, with export volumes of 805 million, 257 million, and 53 million units, respectively.
- Export Growth by Region: During this period, Oceania and Asia saw export growth rates of 100% and 18.4%, respectively.
- Export Value by Region: Europe, Asia, and North America led in export value, with $7.038 billion, $5.111 billion, and $4.176 billion, respectively, accounting for 40.22%, 29.21%, and 23.87% of China's total lithium-ion battery export value.
- Regional Export Value Growth Rate: Oceania and South America experienced significant growth in export value, achieving increases of 89.57% and 32.5%, respectively.
China's Top Three Export Markets for Lithium-ion Batteries
In the first four months of 2024, the United States, Germany, and South Korea were the top three markets for China's lithium-ion battery exports. The export values were $3.934 billion, $3.382 billion, and $1.175 billion, respectively, accounting for 22.5%, 19.33%, and 6.72% of China's total lithium-ion battery export value.
- Export Growth Rate: The UK and Australia saw significant year-on-year growth rates of over 50%, with increases of 86.3% and 83.7%, respectively.
- - United States: The US remained the largest market for China's lithium-ion battery exports. From January to April 2024, exports to the US totaled $3.934 billion, a year-on-year decrease of 9.3%. This accounted for 22.5% of China's total lithium-ion battery exports, an increase of 2.2 percentage points compared to the same period in 2023.
- - Germany: Germany was the second-largest market, with exports amounting to $3.382 billion, a year-on-year decrease of 9.9%, representing 19.33% of China's lithium-ion battery exports.
- - South Korea: South Korea was the third-largest market, with exports totaling $1.175 billion, a significant year-on-year decrease of 58.1%, accounting for 6.72% of China's lithium-ion battery exports.
Origin of Exported Products
From January to April 2024, Fujian, Guangdong, and Jiangsu provinces accounted for 66.3% of China's total lithium-ion battery export value.
- Fujian Province: Fujian remained the largest source of lithium-ion battery exports in China, with an export value of $4.81 billion, a year-on-year decrease of 14.9%. This accounted for 27.5% of China's total export value. The export quantity was 85.738 million units, reflecting a year-on-year increase of 14.8%.
- Guangdong Province: Guangdong ranked second, with an export value of $3.844 billion, a year-on-year decrease of 22%. This represented 22% of China's lithium-ion battery exports. The export quantity was 376 million units, marking a year-on-year increase of 16.4%.
- Jiangsu Province: Jiangsu ranked third, with an export value of $2.931 billion, a year-on-year decrease of 35.6%. This accounted for 16.8% of China's total export value. The export quantity was 232 million units, a year-on-year decrease of 23.8%.
