Qianji Investment Bank: 2022 Power Battery Recycling Industry Research Report (Report Attached)

Industry Overview

The recycling of power batteries (mainly referring to lithium power batteries) refers to the multi-level rational utilization of waste lithium power batteries for new energy vehicles. The capacity of the power battery will continue to decrease as the number of times of use increases. After the power decays to 80%, it will not be able to provide power for new energy vehicles. It has to face elimination and can only enter the recycling stage.

The utilization rate of retired lithium-ion power batteries for electric vehicles reaches 60%. Therefore, how to make full use of the residual value of decommissioned power batteries has become the focus of attention of all parties. This behavior is also regarded by enterprises as an effective measure to reduce costs and increase efficiency, and even become an emerging business for some enterprises to increase revenue.

Power battery recycling methods mainly include cascade utilization and dismantling recycling.

(1) Cascade utilization refers to properly repairing decommissioned power batteries with high remaining capacity and meeting the overall use requirements, and unifying standards, and putting them into the battery field with low requirements for secondary use. Generally, when the remaining capacity of decommissioned power batteries is in the range of 60%-80%, the cascade utilization value is higher. When the power battery capacity decays to less than 80% of the initial capacity, it is no longer suitable for high-demand battery fields, and then enters the cascade utilization stage.

Through processes such as screening and dismantling, unifying standards, and recombination, decommissioned power batteries can continue to give full play to the remaining battery life, further reducing the life cycle cost of power batteries. It can be reused in energy storage (power grid peak regulation and frequency regulation, peak shaving and valley filling, wind and solar energy storage, iron tower base station) and low-speed electric vehicles and other fields.

(2) Dismantling and recycling refers to the centralized recycling of scrapped power batteries, and the recycling of nickel, cobalt, manganese, copper, aluminum, lithium and other metals in the batteries through process technology, and then recycling these materials to manufacture power battery packs, and Applied in new energy vehicles. When the power capacity drops below 40% of the initial capacity, it is generally chosen to enter the dismantling and recycling stage.

The industry is currently in a stage of rapid growth. The service life of the power battery of new energy vehicles is generally 5 to 8 years, and the effective life is 4 to 6 years. Calculated according to this standard, the first batch of new energy vehicle power batteries that were promoted and produced in my country in 2013~2014 have gradually entered the retirement period.

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