Lead acid battery industry status


With the rapid development of lithium-ion batteries in recent years, as well as the national policy to vigorously promote, we all thought that now is the era of lithium-ion batteries.In fact, lead-acid batteries still dominate at present.Lead-acid batteries have been unfailing for 150 years. In the decades since new batteries such as nickel-cadmium batteries, nickel-hydrogen batteries, and lithium-ion batteries have been on the market, they can still firmly occupy most of the market share. It is no accident that each diesel locomotive of world uses a lead-acid battery.

Since the introduction of lead-acid batteries in 1859, after nearly 160 years of development, the production of lead-acid batteries has made great progress, as of June 2020 the national production of lead-acid batteries 96,356,000 kVA, an increase of 6.1% year-on-year.China is the world’s largest foreign trade country for lead-acid batteries, and its products are mainly exported to the United States, Europe, Africa, the Middle East and other countries and regions.The direct export of lead-acid batteries accounts for about 10% of the total domestic production, and maintains stable growth and a good trade surplus.

Business model of lead-acid battery industry

1.Procurement model

Lead-acid battery companies generally purchase on-demand in light of the order situation. As lead occupies a relatively large portion of raw material procurement and takes up more funds, industry companies generally establish closer cooperative relations with large lead smelting companies, and part of them purchase through bulk commodity agents.

2.Production model

Industry enterprises generally adopt the production mode of sales and production, some common specifications of the product to set a certain amount of safety stocks.

3.Sales model

The plate products are mainly sold to domestic lead-acid battery manufacturers. Products of companies in the lead-acid battery industry are generally sold at home and abroad. Domestic sales are mainly direct sales to communication operators, UPS manufacturers, emergency electrical appliances manufacturers, etc. The automotive starter maintenance market and the electric bicycle maintenance market generally adopt a distribution model. Foreign sales are mainly sold to foreign traders, or directly sold to communication operators, UPS manufacturers, etc. through the establishment of local offices.

Lead acid battery VS lithium battery


1KWH lead-acid batteries cost 500 yuan or less, while the price of 1KWH lithium batteries reaches 1,200 yuan. The current lead-acid batteries prcie still has certain advantages, but With the acceleration of the commercial use of electric vehicles, the price of lithium batteries will soon drop, and the advantages will soon be wiped out.


Lead-acid batteries have a long history. The cost of mature technology is lower than that of lithium batteries.Lead-acid batteries can be used in complex environments, while lithium batteries have relatively high environmental requirements and high requirements for charging and discharging current and voltage. Once overcharged or overdischarged, they may cause irreversible damage.

3.Environmental protection

Lead-acid batteries will produce pollution in production due to the presence of heavy metal lead, and improper disposal of used batteries will also produce pollution; while the pollution produced in the production of lithium batteries is very small, and only a small amount of contaminated components in used batteries.

Lead battery development trend

On April 29, 2020, the 13th National People’s Congress revised the “Law of the People’s Republic of China on the Prevention and Control of Environmental Pollution by Solid Wastes” for the second time. The state will establish an extended system of producer responsibility for products such as lead storage batteries and automotive power batteries. The strengthening of environmental protection policies will make some small enterprises unable to bear huge environmental protection expenses and force these small enterprises that do not comply with environmental protection regulations to close down. Since 2008, the National Development and Reform Commission, the Ministry of Industry and Information Technology, industry associations and other departments and organizations have successively issued a number of special plans for the battery industry and outlines for industrial development adjustments including the battery industry. Under the influence of policy guidance and environmental protection requirements, my country The lead battery industry continues to integrate, and the industry concentration continues to increase. And with the advancement of the industry 4.0 development concept and the 2025 goal of Made in China, the lead-acid battery industry will accelerate the pace of transition from the traditional manufacturing model to the intelligent manufacturing model, and at the same time accelerate the innovative application of digital and networked management systems to accelerate the efficient production process Technology, automation, intelligence and cleanliness, and continue to advance towards the goal of realizing smart factories.

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