Global players in the lithium battery industry are basically concentrated in East Asia.
In 2020, LG, CATL and Panasonic together accounted for more than 70% of the total lithium battery production.
Although Panasonic and LG obtained Kechuang Biotech's battery samples through their own channels, Kechuang Biotech only sent samples to battery manufacturers in China, which is a signal in itself.
"Judging from the samples obtained by Kechuang Biotechnology, they have achieved breakthroughs in the cathode material and separator. Whether the cathode material is lithium metal, a layer of graphene coating is added to the separator."
"The lithium metal cathode solves the pressure caused by the charging expansion of lithium metal through the honeycomb-structured MiEC pipe. This is a solution that has been available before."
"Kechuang Bio's lithium metal cathodes have taken a big step forward on this basis. Their microstructure is more complex, but they are indeed more effective."
"The same unique graphene coating allows Linshu to have good stability as a positive electrode and significantly improves the efficiency of battery charging and discharging."
"And the performance of Kechuang Bio's samples is not much different from what they claimed, and even performs better. The energy density of 700kwh/kg is already more than three times the energy density of common power batteries on the market today."
“If Kechuang Bio’s lithium battery cathode materials and graphene coatings can be mass-produced, our batteries will no longer have any advantages.”
"At least our current 4680 battery has no advantage in front of Kechuang Biotech's new cathode material."
The 4680 model battery is the current high-end model of Panasonic Battery. It was personally released by Tesla founder Musk on Tesla Battery Day in 2020.
The energy density of the 4860 has reached 300kwh/kg, while the lithium battery of Kechuang Biotechnology has been directly doubled and has 100kwh/kg more.
He is the R&D general manager of Panasonic Battery. He continued: "China is a big and booming country. I have been to China many times. The battery industry in China has been developing rapidly."
“When I attended the 8th South China Lithium Battery International High-Level Forum in 2016, the founder of CATL was still learning from us.”
"As a result, CATL's market share in 2020 has exceeded ours by 5%."
"Kechuang Bio is even more frightening. Even the new generation 4680 in our laboratory still has far less energy density than Ke Chuang Bio."
"Our hope is that the production cost of Kechuang Biotech's cathode materials is very high. Since it involves the design of the lithium metal ion structure at the microscopic level, the cost is not expected to be very low."
Panasonic's 4680 battery uses a "poleless lug" electrode with one end coated with conductive material so that it is directly connected to the casing or a specially designed cover. The current is directly conducted between the electrode current collector, cover and casing.
This design increases the electrical conduction area, shortens the electrical conduction distance, and reduces the internal resistance by 5 times.
At the same time, because there is no metal conductor such as the tab, the cost of 4680 is reduced by 14%.
"If the cost of Kechuang Bio's lithium battery technology is diluted to a point where it is lower than ours per kwh/kg, then we will have to increase investment in research and development and obtain the patent authorization from Ke Chuang Bio."
“Kechuang Biotechnology’s technology is at least three years ahead of ours.”
Panasonic batteries have been supplying Tesla for a long time and can be said to be one of Tesla’s earliest core suppliers.
In the past, new energy vehicles used a whole battery, or several large batteries combined. Until Tesla entered the market, 7104-cell Panasonic 18650 model ternary lithium batteries were used in series to form the total power system.
Later, major new energy vehicle companies began to use small batteries connected in series.
This is because the battery management system can improve battery usage efficiency.
Even now, Tesla's battery management system is still in a leading position among major new energy vehicle companies.
The cooperative relationship between Panasonic Battery and Tesla is deeply tied. As early as 2014, Panasonic and Tesla jointly invested 5 billion yuan to build a super battery factory in Nevada, specializing in the production of cylinders required for Tesla cars. type battery core.
After m. Takahashi finished speaking, Kazuo Tadanobu's eyes that had been closed suddenly opened: "Don't have any illusions. The cathode material of Kechuang Biotech is definitely not a laboratory product."
"If it is just a laboratory product, it cannot be directly provided to major manufacturers."
"Kechuang Biotech is a formidable company. Whether it is endorphins or brain-computer connection, Kechuang Biotech's technology has directly opened up the technological generation gap compared with other competitors."
"We must be prepared to face the scientific and technological innovations."
Nodding and saying: "Hey!"
Tadanobu Kazuo continued: "First we need to find out the attitude of science and technology innovation."
"Since Kechuang Biotechnology will license the patents for brain-computer connection technology and endorphin technology, it means that they are willing to cooperate."
"Both Sony and Samsung have obtained patent authorization for brain-computer connection. It should not be the only lithium battery technology that is not licensed to companies outside China."
"I will send the president of Panasonic Greater China to inquire about the information, but you also need to be prepared that Kechuang Biotech is unwilling to license our technology."
"What you just said is that Kechuang Biotech's technology is three years ahead of ours. In other words, along our own technical route, it will take three years to reach Kechuang Biotech's current performance?"
: "Yes, that's an estimate if everything goes well."
"And even if our energy density reaches 700kwh/kg, our charge and discharge efficiency will be difficult to catch up with lithium batteries using Kechuang Biotechnology."
Kazuo Tadanobu asked: "Can their technology patent be bypassed?"
: "It's unrealistic. First of all, even if we design a similar metal structure according to the lithium metal structure of Kechuang Biotech, the energy density will be almost the same as that of Kechuang Biotech's lithium battery."
"But we don't know the industrial process, and it doesn't make sense to just have the laboratory method."
Tadanobu Kazuo: “What if we could obtain an industrial manufacturing method for Kechuang Biotech’s cathode materials?”
: "I can't guarantee that we can get around their patent barriers."
“So far, I haven’t seen any pharmaceutical company bypass the technical barriers of Kechuang Biotech’s endorphin industrial production method.”
"If you want to know the annual global endorphin profits, Kechuang Biotech consumes 30%."
Endorphin patent licensing fees are high.
At present, in the global analgesic market, the market share of endorphins has exceeded 50%, with annual sales of about 100 billion yuan. Kechuang Biotechnology's profit from this is more than 10 billion yuan.
The explosive growth of this income will mainly occur in 2022.
Kazuo Tadanobu: "R&D and information gathering are carried out simultaneously."
...
"LG has been deeply involved in the Chinese market for many years and has always regarded China as the most important market for our future development."
"We hope to reach an in-depth cooperative relationship with Kechuang Biotech in the field of lithium batteries. Kechuang Biotechnology is a giant in China, and we can achieve perfect complementarity in resource integration."
Gao Minghuan, the president of LG Chemical Greater China, exchanged a few pleasantries and then went straight to the topic.
Cheng Gang knew that he could not make the decision. This was decided by Zheng Li and only authorized domestic enterprises in China.
But it was impossible to say it directly on the scene. Cheng Gang said euphemistically: "Kechuang Biotechnology is still a newcomer in the field of lithium batteries."
"As the leader in the global lithium battery industry, LG has a lot to learn from LG Chemistry, and there is no doubt about its technical strength."
"Kechuang Bio's technology is still immature in many areas. I hope there will be opportunities to cooperate with LG Chem in the future."
Gao Minghuan knew what the other party meant, and asked: "Mr. Cheng, there is a saying in China: open the skylight and speak frankly."
"What I say next may be more direct, please forgive me."
"LG Chem has already cooperated with Kechuang Biotech on endorphins. LG Chem's endorphin production ranks second in Korea, second only to Samsung."
"After entering into a partnership, LG Chem will pay hundreds of millions of dollars in patent licensing fees to Kechuang Biotech every year, and this fee has never been in arrears."
"We already have a history of cooperation. Why is Kechuang Biotech not willing to cooperate with LG Chem this time?"
"Is it because we want to support our country's industrial chain? But China's local lithium battery industry chain is not weak. It can even be said to be the first in the world. It does not need support at all."
"Logically speaking, shouldn't your country's biomedical industry be more supportive?"
"I'm curious, what are your company's strategic considerations?"
"As a giant with a global presence, why does it show a certain tendency for regional protection in this patent?"
Gao Minghuan's questioning was very sharp, and Cheng Gang wanted to ask back: Do I have anything to do with you?
But he could only say politely: "This is due to certain considerations. We will consider opening the technology to foreign companies in the future."
"It's just that currently due to production restrictions, it cannot be open to global battery manufacturers."
"Since you are so candid, I can also reveal a few things."
"Since you came to talk about Kechuang Biotechnology's lithium battery technology today, your company must have obtained samples and conducted tests."
Gao Minghuan: "Yes."
Cheng Gang continued: "You should be aware that our lithium battery cathode technology adds a unique graphene coating between the lithium metal cathode and the electrolyte."
"Unlike common graphene coatings, Kechuang Biotech's graphene coating requires specialized equipment to print the lithium metal cathode material."
"Similar to photolithography machines, the output of this equipment is limited and cannot meet the supply of all manufacturers."
What Cheng Gang said is true. Since it is a three-dimensional graphene structure, it is not like the current mainstream method of coating a layer of graphene on it.
Special graphene coating equipment is required. The underlying logic of this technology is somewhat similar to a photolithography machine, which uses graphene to print fine patterns on the lithium metal cathode material.
It can be said to be a photolithography machine in the field of lithium batteries.
To some extent, this is also a countermeasure. Kechuang Biotech deliberately spins it off.
