Asian Hedge Fund Manager, Long Short Equity, Macro

David Mudd

Thematic (Sector/Industry)

<ul>
<li>China dominates the global battery market and its manufacturers are expanding production rapidly into international markets.  Players like CATL support global automakers with the most advanced battery technology.</li>
<li>Growth of renewable energy has increased demand for Energy Storage Solutions (ESS). ESS stores energy from renewable sources, stabilizes the power grid, and provides power for industrial and commercial buildings. </li>
<li>China's battery companies are benefiting from AI data center (AIDC) storage growth, which has created intense demand for specialized energy storage solutions for this sector.</li>
</ul>


China dominates the global battery market and its manufacturers are expanding production rapidly into international markets.  Players like CATL support global automakers with the most advanced battery technology.
Growth of renewable energy has increased demand for Energy Storage Solutions (ESS). ESS stores energy from renewable sources, stabilizes the power grid, and provides power for industrial and commercial buildings. 
China's battery companies are benefiting from AI data center (AIDC) storage growth, which has created intense demand for specialized energy storage solutions for this sector.


CHINA'S BATTERY SECTOR OUTLOOK: You're Either Positive or Negative!

Global TMT Analyst, Ex-PM, 30 years experience

Neil Campling

<ul>
<li>
<a href="https://www.smartkarma.com/entities/apple-inc" target="_blank" data-smartkarma-citation="entities:666:1" rel="noopener">Apple (AAPL US)</a> iPhone event 'boring', lacks innovation, pushes tech improvements out to 2025. Consumers' reaction? "Meh"</li>
<li>
<a href="https://www.smartkarma.com/entities/samsung-electronics-co-ltd" target="_blank" data-smartkarma-citation="entities:191:1" rel="noopener">Samsung Electronics (005930 KS)</a> Samsung's AI products are only at 30% of consumers' expectations. Meanwhile <a href="https://www.smartkarma.com/entities/huawei-technologies-co-ltd" target="_blank" data-smartkarma-citation="entities:8231:1" rel="noopener">Huawei Technology (40978Z CH)</a> Mate XT takes technology to a new level </li>
<li>Electric Vehicles backlash to regulations mirror setbacks for OEMs. <a href="https://www.smartkarma.com/entities/toyota-motor-corp" target="_blank" data-smartkarma-citation="entities:73:1" rel="noopener">Toyota Motor (7203 JP)</a> positioned to win</li>
</ul>



Apple (AAPL US) iPhone event 'boring', lacks innovation, pushes tech improvements out to 2025. Consumers' reaction? "Meh"

Samsung Electronics (005930 KS) Samsung's AI products are only at 30% of consumers' expectations. Meanwhile Huawei Technology (40978Z CH) Mate XT takes technology to a new level 
Electric Vehicles backlash to regulations mirror setbacks for OEMs. Toyota Motor (7203 JP) positioned to win


Tech Daily. Apple (Boring), Huawei (Wow), Samsung, AI, EVs in Focus

Blue Lotus China New Economy Research, Blue Lotus Research Institute

Eric Wen

Blue Lotus China New Economy Research

China growth and global non-US Internet equities

Blue Lotus Research Institute

Blue Lotus Research is a Hong Kong Type 4 Licensed investment advisory firm focusing on Chinese growth equities and global non-US Internet equities

<ul>
<li>One year after June 30, 2023, only 18% more of total battery capacities were added in US, below EU's 26% more added over the same period;</li>
<li>Chinese companies have largely shunned away from US investments, contributing only 8.7% of total. Most Chinese investments are in the mineral, instead of cell and package segments;</li>
<li>Envision/AESC alone contributed 2/3 of Chinese investments in US and is the only Chinese company investing in the cell segment.None invests in the package segment.</li>
</ul>


One year after June 30, 2023, only 18% more of total battery capacities were added in US, below EU's 26% more added over the same period;
Chinese companies have largely shunned away from US investments, contributing only 8.7% of total. Most Chinese investments are in the mineral, instead of cell and package segments;
Envision/AESC alone contributed 2/3 of Chinese investments in US and is the only Chinese company investing in the cell segment.None invests in the package segment.


US Battery and Solar Investments, One Year After, Part I

<ul>
<li>1211 HK/LI US /XPEV US/NIO US: China and the EU have launched negotiations on electric vehicle tariffs (///////)</li>
<li>BEKE US: Existing Home Sales Increase 61% YoY in the 26th Week of 2024, Expected to Increase 19% YoY in June (+)</li>
<li>1810 HK/ NIO US/ XPEV US/ LI US/1211 HK/300207 SZ/300750 SZ:  Xiaomi's third model was said to be a low priced model, targeting low tier cities .(/////////////)</li>
</ul>


1211 HK/LI US /XPEV US/NIO US: China and the EU have launched negotiations on electric vehicle tariffs (///////)
BEKE US: Existing Home Sales Increase 61% YoY in the 26th Week of 2024, Expected to Increase 19% YoY in June (+)
1810 HK/ NIO US/ XPEV US/ LI US/1211 HK/300207 SZ/300750 SZ:  Xiaomi's third model was said to be a low priced model, targeting low tier cities .(/////////////)


[Blue Lotus Daily]:1211HK/LI/XPEV/NIO/BEKE/1810HK/300207SZ/300750SZ/LKNCY/9926HK/MNSO/600519CH

<ul>
<li>About a year ago, we started collating battery investments in the European Union. At the time we conclude between 1/4 to a 1/3 were originated from China;</li>
<li>A year later, we revisited and found the ratio has increased. With the latest EU tariff on China-made EV's, we expect Chinese capacity buildups to quicken;</li>
<li>A total of 1,742 GWh of projects are supposed to go online in EU countries, representing investment of US$150bn, among which China related GWh and investment is ~25%. </li>
</ul>


About a year ago, we started collating battery investments in the European Union. At the time we conclude between 1/4 to a 1/3 were originated from China;
A year later, we revisited and found the ratio has increased. With the latest EU tariff on China-made EV's, we expect Chinese capacity buildups to quicken;
A total of 1,742 GWh of projects are supposed to go online in EU countries, representing investment of US$150bn, among which China related GWh and investment is ~25%. 


EU's Battery and Solar Investments, One Year After, Part I

China

Sunwoda Electronic Company Limited develops, designs, produces and sells li-ion battery module.  The company also produces membrate switches and precision structures.

Price Gauge
52-week Range	0.00 - 0.00
Market Cap (USDm)	0.00
P/E	0.00
Dividend (Yield)	0.00

Sunwoda Electronic Co Ltd A (300207 CH)

CHINA'S BATTERY SECTOR OUTLOOK: You're Either Positive or Negative!

CATL is considering an equity offering of up to $5B to accelerate its overseas capacity build-out and battery project deals, especially in energy...

David Mudd

Tech Daily. Apple (Boring), Huawei (Wow), Samsung, AI, EVs in Focus

Apple iPhone event boring, profit taking due to valuation. Huawei event the opposite, huge tech advances. Samsung AI products fall short of...

Neil Campling

US Battery and Solar Investments, One Year After, Part I

We view the US having a vigorous and healthy battery reshoring initiative. contributed by battery's relatively flat supply chain and the technology...

Blue Lotus Research Institute

[Blue Lotus Daily]:1211HK/LI/XPEV/NIO/BEKE/1810HK/300207SZ/300750SZ/LKNCY/9926HK/MNSO/600519CH

China and the EU are in talks to negotiate electric vehicle tariffs, while Xiaomi plans to release a low-priced model targeting low tier cities....

Blue Lotus Research Institute

EU's Battery and Solar Investments, One Year After, Part I

Chinese companies accounted for a quarter of battery investments in EU. This ratio has increased materially over the past 12 months and will...

Blue Lotus Research Institute

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)

CHINA'S BATTERY SECTOR OUTLOOK: You're Either Positive or Negative!

CATL is considering an equity offering of up to $5B to accelerate its overseas capacity build-out and battery project deals, especially in energy...

David Mudd

Tech Daily. Apple (Boring), Huawei (Wow), Samsung, AI, EVs in Focus

​Apple iPhone event boring, profit taking due to valuation. Huawei event the opposite, huge tech advances. Samsung AI products fall short of...

Neil Campling

US Battery and Solar Investments, One Year After, Part I

We view the US having a vigorous and healthy battery reshoring initiative. contributed by battery's relatively flat supply chain and the technology...

Blue Lotus Research Institute

[Blue Lotus Daily]:1211HK/LI/XPEV/NIO/BEKE/1810HK/300207SZ/300750SZ/LKNCY/9926HK/MNSO/600519CH

​China and the EU are in talks to negotiate electric vehicle tariffs, while Xiaomi plans to release a low-priced model targeting low tier cities....

Blue Lotus Research Institute

EU's Battery and Solar Investments, One Year After, Part I

Chinese companies accounted for a quarter of battery investments in EU. This ratio has increased materially over the past 12 months and will...

Blue Lotus Research Institute

Apple iPhone event boring, profit taking due to valuation. Huawei event the opposite, huge tech advances. Samsung AI products fall short of...

China and the EU are in talks to negotiate electric vehicle tariffs, while Xiaomi plans to release a low-priced model targeting low tier cities....