As more companies began to enter the electrolyte field, the lithium battery electrolyte industry in the first half of this year showed a decline in prices and profits. Relevant data show that in the first half of 2013, the sales volume of Electrolytes in China reached 17,250 tons, an increase of 23.21% compared with the sales volume of 14,000 tons in the first half of 2012. While sales have increased, industry profits have plummeted. In the first half of 2013, the output value of electrolyte sales was only 811 million yuan, which decreased by 11.22% compared with 2012.

Due to the increase of new enterprises, but also because of the lack of market capacity, electrolyte traditional enterprises, traditional enterprises and new enterprises between the fierce competition, which is the root cause of the price decline. In addition, for a long time, the key material of electrolyte lithium hexafluorophosphate is completely provided by imported lithium battery enterprises, and now the localization level has been greatly improved.

In the first half of this year, the electrolyte industry is characterized by the sales of traditional electrolyte enterprises to achieve a small single-digit growth, while around 2012, there are 5 new enterprises in the production and sales growth of more than 100%.
Only in 2011 and 2012, the number of Electrolyte enterprises in China increased by 14, equivalent to 64% of the total number of electrolyte enterprises in 2009. These new electrolyte manufacturers in this year's volume.

Because the newly entered electrolyte enterprises through the price war to seize the market opportunity, the electrolyte price dropped by 30% to 40% compared to last year, the current mainstream offer in 45,000 to 50,000 yuan/ton (excluding tax). The influx of so many electrolyte enterprises is based on the increasing display of new power battery capacity, in the domestic policy support and guidance of new energy vehicles, the new power battery project and since 2011 has been started since the project will form capacity, the relevant material supporting enterprises also increased production.

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