VFBATTERY REPORT
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Battery Report 2025, page 511: Capital

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China’s Battery Investment Journey: From R&D to Global Leadership China’s battery industry investment has gone through four key phases, transforming from a latecomer in technology to a global leader in production capacity and innovation: 1990s-2005

(Technical Exploration Period) Private enterprises and research institutes laid the technical groundwork for lithium-ion batteries.

(Policy-Driven Period) National policies (e.g., "Ten Cities, Thousand Vehicles") fueled industrial takeoff and the rise of key players like CATL and BYD.

2021-Present

(High-Speed Growth Period) Market expansion and subsidy adjustments triggered industry consolidation, with leading firms dominating the market.

Chinese enterprises led in global capacity, technological breakthroughs (e.g., blade batteries, sodium-ion batteries) and overseas investment.

Three Stages of Policy Evolution: 2016-2020 (Subsidy-Driven Phase) Regulations stipulate that from 2017 to 2020, except for fuel cell vehicles, the subsidy standards for other vehicle models will be gradually reduced: from 2017 to 2018, they will decrease by 20% on the basis of 2016, and from 2019 to

2021-2023 (Transition & Adjustment Phase) Subsidies were phased out completely, with the dual-credit policy taking over.This policy has exerted a significant impact on the competitive landscape of the passenger vehicle market.

2024-2025 (Market-Led Phase) Market-oriented pricing mechanisms have matured.Technological advancement has become the sole qualifying criterion.

2020, they will decrease by 40%.

Source: Exploring Lithium-ion Batteries: China's Rise in the Lithium Battery Industry.China's Power Battery Turbulent 20 Years: From Being Controlled by Japan and South Korea to Global Dominance | Annihilation and Rebirth

Extracted from the PDF; charts and images may read imperfectly.

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