Industry Hot News —— Issue 071, June 17, 2022

[Lithium Battery] A domestic solid-state battery company has completed the A++ round of financing, and the first production line will be put into operation

Recently, jointly led by CICC Capital and China Merchants Group, a solid-state battery company in Chongqing completed its A++ round of financing. The company's CEO said that the company's first 0.2GWh semi-solid power battery production line in Chongqing will be put into operation in October this year, mainly for new energy vehicles and taking into account application scenarios such as electric bicycles and intelligent robots. The company also plans to start the construction of the 1GWh production line at the end of this year and early next year.
Highlight:『Entering 2022, the news of Honda, BMW, Mercedes-Benz and other car companies betting on solid-state batteries continues to spread. EVTank predicts that the global shipments of solid-state batteries may reach 276.8GWh by 2030, and the overall penetration rate is expected to increase to 10%.』

[Electronics] Optical chips have entered the golden age, which will provide important opportunities for China to "change lanes and overtake"
Optical chips realize photoelectric signal conversion through light waves, which can break through the physical limits of electronic chips and reduce power and information connection costs. With the implementation of 5G, data center, "East-West computing resource channeling", "Dual Gigabit" and other plans, it is expected that China's optical chip market will reach 2.4 billion US dollars in 2022. The global optical chip industry is not yet mature and the gap between domestic and foreign countries is small. This is a huge opportunity for China to "change lanes and overtake" in this field.
Highlight:『At present, Beijing, Shaanxi and other places are actively deploying the photonics industry. Recently, Shanghai released the "14th Five-Year Plan for the Development of Strategic Emerging Industries and Leading Industries", which lays weight on the R&D and application of new-generation photonic devices such as photonic chips.』

[Infrastructure] The plan for urban gas pipeline renovation and transformation has been implemented, driving the growth of demand for welded steel pipes
Recently, the State Council issued the Implementation Plan for Renovation and Transformation of Aging Urban Gas Pipelines and Others (2022-2025), which proposed to complete the renovation and transformation of aging urban gas pipelines and others by the end of 2025. As of 2020, China's urban gas pipelines has reached 864,400 kilometers, of which the aging pipeline accounts for nearly 100,000 kilometers. The above plan will accelerate the renovation and transformation of gas pipelines, and the digital construction industry of pipe materials and pipe networks will embrace new opportunities. In terms of capital, it is expected that the new expenditure may exceed one trillion.
Highlight:『In the future, the demand for gas pipelines in China tends to have dual-track rapid development of ‘new addition + transformation’, which will bring about an explosive demand for welded steel pipes. The industry representative enterprise Youfa Group is the largest welded steel pipe manufacturer in China, with an annual output and sales volume up to 15 million tons.』

[Medical Devices] The Shanghai Stock Exchange issued guidelines to improve the listing mechanism for supporting medical device "hard technology" companies
Among the more than 400 listed companies on the Science and Technology Innovation Board, bio-pharmaceutical companies account for more than 20%, of which the number of medical device companies ranks first in six sub-sectors. China has become the second largest medical device market in the world, whose size is expected to exceed 1.2 trillion in 2022, but the import dependence of high-end medical equipment is as high as 80%, and the demand for domestic substitution is strong. The "14th Five-Year Plan'' in 2021 has made high-end medical equipment a key development area of the medical device industry, and the construction of new medical infrastructure may last for 5-10 years.
Highlight:『In recent years, Guangzhou's biopharmaceutical industry has maintained an average annual growth rate of about 10%. The number of related enterprises is more than 6,400, ranking third in China. In 2023, the city's biopharmaceutical and high-end medical device industry scale will strive to exceed 600 billion yuan.』

[Mechanical Equipment] Coal strives to maintain supply and increase production, and the coal machinery market welcomes the peak of development again
Due to the tight global coal supply and demand, the Executive Meeting of the State Council decided to increase coal production by 300 million tons this year. From the second half of 2021, the demand for equipment by coal production enterprises has significantly increased; relevant data shows that the fixed asset investment completed in the coal mining and washing industry has increased significantly in early 2022, with a year-on-year increase of 45.4% and 50.8% in February and March respectively.
Highlight:『In addition to the increase in demand for coal machinery equipment, the investment in the upgrading and construction of intelligent mines in coal mines has also increased significantly. The penetration rate of intelligent coal mines in China is only at the level of 10-15%. Domestic coal machinery equipment manufacturers will embrace new development opportunities.』

The above information comes from public media and is for reference only.