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After the policy is gradually implemented and the battery production release period has passed, perhaps the development of the entire vehicle company has not met expectations, and there will be a brief absorption period in the industry. Although it is unclear how long this period will last and how long it will come, it can be confirmed that "excess production is inevitable".

Huang Yonghe, Chief Engineer of China's Automotive Technology Research Center, believes that from the current situation, power lithium-ion batteries may face the same problem of overcapacity as traditional cars. "Although many people want to share this cake, we don't know how big it is

The expansion of production has also brought considerable pressure to upstream battery material companies in the industry. Xu Jinfu, the chairman of Guangzhou Tianci High tech Materials Co., Ltd., which produces power lithium battery electrolytes, told the author, "From the perspective of the supply chain, such an expansion of production is not suitable for the development of the supply chain." He is concerned that such rapid development may lead to problems in the later stage of the product.

Zhang Guibin, Chairman of United Copper Foil Huizhou Co., Ltd., also a company that specializes in battery materials, stated that "the development of materials has not kept up with the current booming industry development speed".

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