Sayona Mining Ltd (SYAXF)

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Dr. Stefan Wolf
Senior Innovation Consultant | R&D&I Strategy | Innovation Policy | Energy | E-Mobility | Batteries
4 hours ago
https://www.linkedin.com/feed/update/urn:li:activity:7213487985604857857/
The Chinese hashtag#battery industry is barely making any profit. The market for battery electric vehicles is growing more slowly than expected. The resulting overcapacity has led to massive price cuts, causing profits to hashtag#collapse.

📊 Industry magazine ICCSINO provides the latest hashtag#data on this:
* LFP at EUR 52/kWh (-50 % compared to January 2023)
? No more profit margins since November 2023
* NMC523 at 63 EUR/kWh (-47 % compared to January 2023)
? No more profit margins since June 2023
* NMC811 at EUR 79/kWh (-45 % compared to January 2023)
? Profit margins have fallen by 30 %, but still exist

💸 It is unclear how long the industry will be able to withstand this predatory hashtag#competition. In addition, the Chinese government recently announced first steps to consolidate the battery industry. In order to survive, the entire Chinese battery value chain is pushing into the global markets to win new customers.

🏭 This comes at the worst possible time for hashtag#European ambitions to establish their own battery value chain. Important investments have been made, but the factories are not yet running at full capacity and scrap rates still need to be reduced. Decisive political support is needed more than ever.

👉 Further information:
* Chinese battery prices: https://lnkd.in/e2rxsrhA
* Chinese battery industry regulation: https://lnkd.in/e_Tcqs8e