Be a steadfast advocate for 18650 batteries.
So many client companies are optimistic about 18650, and the market will definitely expand in the future, not to mention that the market space is large enough. Everyone will have food to eat, it's just a matter of whether they can eat well. ”
So far, Bairui's production capacity has reached 200,000 units per day. In the face of surging market demand, there has also been a situation of supply falling short of demand.
However, Zhao Yihang did not demand a rapid expansion like his peers. His idea was that the new energy vehicle market under policy subsidies was still somewhat distorted, and enterprises should retain sufficient funds to cope with the cancellation or reduction of subsidies. Bairui hoped to take a steady path of growth and did not want to achieve overnight success.
Most battery companies in China are barely surviving, and with the current investment scale, market size, and utilization efficiency, it ultimately boils down to government funding. Once subsidies are removed, it remains uncertain whether the business model can still stand. Therefore, large-scale capital investment may face significant risks.
Regarding the current vigorous vertical integration in the industry, Zhao Yihang believes that it is acceptable for enterprises to integrate some resource allocation, but if they hope to achieve a full industrial chain layout, it will form an industrial closed loop, which is not conducive to technological progress and their own market development.
"Any form of consolidation is to eliminate competition, or intends to eliminate competition, but consolidation is only a temporary solution to market competition, not a panacea. The future is still full market competition." Just like our firm belief in
18650 batteries, we also firmly believe in the power of the market
