(1) Characteristics of the precision structural parts industry for lithium-ion batteries:

From the customer perspective, the entry barrier for downstream customers in the precision structural parts industry for lithium-ion batteries is high. The certification process for some customers can take 1-3 years, and the cost of switching suppliers is high. Therefore, structural parts suppliers who have established long-term partnerships with well-known lithium-ion battery customers have a stronger competitive advantage compared to other suppliers.

In terms of product structure, there are significant differences in production processes for different packaging forms and functionalities of precision structural parts for lithium-ion batteries. Key equipment and molds are not interchangeable, requiring substantial investment and experience. As a result, there are fewer manufacturers capable of producing different packaging forms and functionalities of lithium-ion battery precision structural parts. Most suppliers lack the production capacity for complementary products and have relatively poor synergy in sales. Additionally, they may not have the ability to produce different packaging forms of precision structural parts, making them vulnerable to changes in customer demands or risks.

In terms of technical capabilities, lithium-ion battery precision structural parts require interdisciplinary integration of materials, mechanical engineering, and other fields. The manufacturing process and quality control of these products require extensive experience. However, most structural parts manufacturers have insufficient technical reserves and limited research and development capabilities, making them less capable of meeting customer's new product development requirements.

From the production process perspective, stability and response speed of process control are also important factors considered by customers when selecting suppliers. There are few structural parts suppliers in the industry that possess full-process machining capabilities. Most suppliers rely on external processing, which limits their ability to control product quality and reduces the stability of their supply capacity. Additionally, the delivery period for externally processed products needs to be coordinated with the supplier's production capacity and scheduling, making these suppliers less flexible in adjusting their production plans based on customer demands.

In terms of business scale, the precision structural parts industry for lithium-ion batteries exhibits significant economies of scale. Most structural parts manufacturers have relatively small overall scale, which results in weaker bargaining power for raw material procurement and underutilized production capacity. In contrast, larger structural parts manufacturers do not have cost advantages.

(2) Competitive landscape in the precision structural parts industry for lithium-ion batteries:

Influenced by the market concentration of the lithium-ion battery industry, packaging technology routes, and characteristics of the precision structural parts industry, China's precision structural parts industry for lithium-ion batteries exhibits high concentration in various segmented technology route sectors. Several leading precision structural parts manufacturers have emerged in the cylindrical and rectangular packaging routes.

(Article source: Internet, copyright belongs to the original author, please contact us for removal if any infringement occurs)