TrendForce reports that a news platform run by the Shanghai government made an announcement on October 10 stating that BYD plans to invest RMB 5 million to upgrade its production base in Shanghai. According to BYD, the aim of this upgrade project is to meet the growing market demand and contribute to the company’s long-term growth. The plant is operated by a local subsidiary.
BYD’s expansion project entails the installation of new double-edge hemming machines and code printing machines in the A5 section of the production base in Shanghai. With the new equipment, the section will be able to process 72 million units of a new type of Li-ion battery. It should be noted that the actual production capacity for the new type of Li-ion battery will not change with the upgrade.
Located in Songjiang District of Shanghai (the Songjiang Economic and Technological Development Zone), the production base manufactures a wide range of products. Besides Li-ion batteries, the production base also manufactures PV modules, small energy storage systems, electronic components, plastic shells, products made from non-ferrous alloys, and products made from new alloy materials (e.g., magnalium). It provides metal processing services as well.
Regarding Li-ion batteries, the subsidiary that operates the production base is offering standard batteries, advanced batteries featuring a high energy density, and battery modules that contain second-life cells.
The upgrade project focuses on the A5 section that manufactures standard Li-ion batteries, high-density Li-ion batteries, and the next-generation Li-ion battery. In addition to the installation of the new processing machines, BYD will also upgrade the existing environmental protection system and warehousing facility of the section. Regarding the other sections of the base, battery production lines are located in A1, A2, A5, and A6. The A4 section is used to assemble second-life battery modules and small energy storage systems. The A3 section is used to assemble PV modules. As for A6, it is used to manufacture magnalium components.
BYD sold 201,259 units of NEVs in September. From January to September this year, BYD sold 1,180,054 units of NEVs, showing a huge year-on-year growth rate of 249.56%. It is worth noting that Tesla has a gigafactory in Shanghai’s Pudong New Area, which is close to BYD’s production base. According to the reporting from CCTV-2, Tesla’s gigafactory in Shanghai delivered more than 83,000 vehicles in September. This monthly figure is another new record high for the gigafactory.
This article is a translation of a Chinese article posted by TrendForce. It contains information that is either sourced from other news outlets or accessible in the public domain. Some Chinese names are transcribed into English using Hanyu Pinyin.