Lithium-ion Battery Market: Cell & Components Sample-

Transcription

1 Lithiumion Battery Market: Cell & Components 2011 Sample

2 Chapter 1 Lithiumion Battery Cell Market

3 Chapter 1. Lithiumion Battery Cell Market 11.Lithiumion Battery Cell Market Application FY 2007 FY 2008 LIB World Market Size Transition & Forecast (Value) FY 2009 FY 2010 (Estimate) (Unit: Million yen) Amount % Share Amount % Share Amount % Share Amount % Share Amount % Share Amount % Share Amount % Share Amount % Share Amount % Share Portable devices 806, % 868, % 773, % 852, % 911, % 956, % 995, % 1,035, % 1,075, % Nonconsumer smallmiddle size devices 186, % 203, % 19.0% 183, % 18.9% 215, % 19.7% 259, % 20.8% 285, % 19.4% 305, % 16.2% 325, % 12.7% 354, % 11.6% Industrial use 0 0.0% % 0.0% % 0.0% % 0.0% 2, % 0.2% 8, % 0.6% 32, % 1.7% 97, % 3.8% 299, % 9.8% Invehicle use 0 0.0% 0 0.0% 15, % 26, % 2.4% 73, % 5.9% 220, % 15.0% 552, % 29.3% 1,104, % 43.1% 1,326, % 43.4% Total 993, % 1,072, % 972, % 1,094, % 100.0% 1,247, % 100.0% 1,471, % 100.0% 1,885, % 100.0% 2,563, % 100.0% 3,056, % 100.0% 108.0% 90.7% 112.6% 113.9% 118.0% 128.1% 136.0% 119.2% FY 2011 FY 2012 FY 2013 FY 2014 FY ,500,000 3,000,000 2,500,000 2,000,000 Fig. 1. LIB World Market Size Transition & Forecast (Value) (Unit: Million yen) Fig. 2. LIB World Market Size Transition/Forecast (Value): Distribution by Application 100% 80% 60% 1,500,000 1,000, ,000 40% 20% 0 FY 2007 FY 2009 FY 2011 FY 2013 FY % FY 2007 FY 2009 FY 2011 FY 2013 FY 2015 Invehicle use Industrial use Nonconsumer smallmiddle size devices Portable devices Invehicle use Industrial use Nonconsumer smallmiddle size devices Portable devices 2 Yano Research Institute, ltd.

4 Chapter 1. Lithiumion Battery Cell Market The each application field is defined as below. Consumer portable devices: Portable devices such as mobile phones, note PCs, portable music players, digital cameras, digital video cameras, mobile game machines Nonconsumer small to medium size devices: Power tools, Ebikes, Pedelecs (Emotor assist bicycle), medical and aerospace devices Industrial use: Smartgrid application (batteries installed together with wind and solar power generation or similar systems for achieving power supply stabilization by charging during the low power consumption time and discharging in peak power consumption), residential use (installed mainly together with a solar power generation system, and used as a residential rechargeable battery), industrial use (industrial equipment, large size vehicle, etc.), UPS (uninterrupted power supply for factories and telecommunication stations, etc) Invehicle use: applications for passenger vehicles only, excluding largesize vehicles such as bus, construction vehicles, railroad vehicles, etc. that are defined as industrial applications The market size in value in this report has been estimated based on the foreign exchange rates listed below. The exchange rate for fiscal 2010 and after, the exchange rate for fiscal 2010 has been used. Country Area A currency unit FY 2007 FY 2008 FY 2009 FY 2010~ Korea won 1won yen yen 0.073yen 0.073yen China RMB 1RMB 15.32yen yen yen 12.36yen Taiwan dollar 1NT$ 3.57yen 3.29yen 2.85yen 2.62yen US dollar 1$ yen yen 93.57yen 84.5yen Euro yen yen 130.2yen 112yen 3 Yano Research Institute, ltd.

5 Chapter 1. Lithiumion Battery Cell Market The LIB world market size, in terms of monetary value, showed steady growth and accounted for 1,072.7 billion yen in However, due to the effects of the global recession, the market shrank in 2009 to billion yen, equivalent to 90.7% of the size in the preceding year. The economy subsequently managed to turn around, and the demand for portable devices such as mobile phones and note PCs, which had been driving the market, began to prevail again. The market thereafter is expected to start growing again, and to account for 1,094.9 billion yen for In 2010, it is expected that the demand for medium and largesize lithiumion battery cells will emerge and increase, for the applications such as invehicle use, smartgrid applications, rechargeable batteries and UPS applications. The market is expected to expand to 3,056 billion yen in A look at the market size transition and forecasts by application reveals that in 2009, portable devices such as mobile phones and note PCs accounted for 80% of the total while the other types of portable applications accounted for the remainder. In 2010 and thereafter, the LIB market for medium and largesize devices will grow. In 2015, the segment for portal devices is expected to account for a declined share of only 35.2% of the overall market. Instead, invehicle use will come to account for 43.4% of the market and become the largest application category within the LIB market. Also, markets for industrial use, such as smartgrid applications and residentialuse, will emerge. It is estimated that in 2015, industrial use will account for 9.8% of the LIB market. 4 Yano Research Institute, ltd.

6 Chapter 2 Lithiumion Battery Cell Market: by application

7 Chapter 2. Lithiumion Battery Cell Market: by application 21.Lithiumion Battery Cell Market: For portable devices Country Area FY 2007 Portable devices for Consumer LIB World Market Size Transition & Forecast (Value) FY 2008 FY 2009 FY 2010 (Estimate) (Unit: Million yen) Amount % Share Amount % Share Amount % Share Amount % Share Amount % Share Amount % Share Amount % Share Amount % Share Amount % Share Japan 515, % 519, % 476, % 481, % 474, % 468, % 447, % 424, % 419, % 100.8% 91.7% 101.1% 98.4% 98.9% 95.6% 94.8% 98.8% Korea 162, % 216, % 193, % 242, % 268, % 296, % 328, % 372, % 365, % 132.8% 89.3% 125.7% 110.7% 110.3% 110.8% 113.5% 98.1% China 108, % 111, % 92, % 113, % 141, % 153, % 169, % 196, % 236, % 102.9% 82.7% 123.2% 124.6% 108.3% 110.6% 116.3% 120.3% Taiwan 20, % 21, % 11, % 14, % 27, % 38, % 49, % 41, % 53, % 107.7% 53.4% 125.0% 188.7% 139.9% 130.1% 83.2% 129.8% USA 0 0.0% 0 0.0% 0 0.0% 0 0.0% 0 0.0% 0 0.0% 0 0.0% 0 0.0% 0 0.0% Europe 0 0.0% 0 0.0% 0 0.0% 0 0.0% 0 0.0% 0 0.0% 0 0.0% 0 0.0% 0 0.0% Total 806, % 868, % 773, % 852, % 911, % 956, % 995, % 1,035, % 1,075, % 107.7% 89.0% 110.3% 106.9% 104.9% 104.1% 104.1% 103.9% FY 2011 FY 2012 FY 2013 FY 2014 FY 2015 Portable devices for Consumer LIB World Market Size Transition & Forecast (Value) (Unit: Million yen) Portable devices for Consumer LIB World Market Size Transition/Forecast (Value):Distribution by Country and Area 1,200,000 1,000, , , , , % 90% 80% 70% 60% 50% 40% 30% 20% 10% 0 FY 2007 FY 2009 FY 2011 FY 2013 FY % FY 2007 FY 2009 FY 2011 FY 2013 FY 2015 Japan Korea China Taiwan USA Europe Japan Korea China Taiwan USA Europe 6 Yano Research Institute, ltd.

8 Chapter 2. Lithiumion Battery Cell Market: by application Since 2010, the demand has been recovering for portable devices such as mobile phones and note PCs, which had been driving the market. In particular, smartphones have emerged and formed a new market. LIBs used on smartphones are required to offer higher capacity, i.e. longer battery operation, and the demand for highervalue added LIB is beginning to be observed. The demand is shifting back to traditional note PCs from socalled netbooks which got popular once, which may be attributable to the fact that the access to video contents has been increasing in addition to music files in the recent years. Also, netbooks are not so suitable for multitasking of various applications. Mobile phones and note PCs have not become prevalent yet in many countries. The shipments of such devices in those countries are expected to keep increasing gradually in the years to come. Demand for new types of portable devices has been on the rise in the recent years. Needs exist for highercapacity LIB cells that can support tablet PCs for handling various applications and enhancing portability. While low power consumption is a major feature of ebook readers, the use of highcapacity LIB will further enhance the battery life. Under these circumstances, the LIB market for consumer portable devices is expected to grow steadily in terms of volume. Yet as the price reduction requirement continues to be demanding for LIB, it is difficult to expect the market to grow substantially in terms of value. LIB manufacturers for consumer applications operate only in three countries; Japan, Korea and China. This is as LIB manufacturers in Europe and the U.S. adopt the policy of specializing in LIB for medium and largesize applications without participating in the consumer segment already under saturation. In 2009, Japan maintained 61.7% market share. Meanwhile, China, with its high price competitiveness, is expected to gradually expand its market share from 11.9% in 2009 to 22.0% in 2015 and further to 31.0% in Korea is also increasing its presence in the market by aggressively expanding the production capacity for the products in volume zones. Korea is estimated to increase its market share from 25.0% in 2009 to 34.0% in Yano Research Institute, ltd.

9 Chapter 3 Lithiumion Battery Cell Market: by countries/areas

10 Chapter 3. Lithiumion Battery Cell Market: by countries/areas 31.Lithiumion Battery Cell Market: by countries/areas Country Area FY 2007 Country / Area distinction LIB World Market Size Transition & Forecast (Value) FY 2008 FY 2009 (Unit: Million yen) Amount % Share Amount % Share Amount % Share Amount % Share Amount % Share Amount % Share Amount % Share Amount % Share Amount % Share Japan 636, % 653, % 603, % 627, % 667, % 744, % 872, % 1,089, % 1,211, % 102.8% 92.2% 104.0% 106.5% 111.4% 117.3% 124.8% 111.2% Korea 190, % 248, % 226, % 282, % 317, % 372, % 460, % 592, % 622, % 130.3% 90.9% 124.8% 112.7% 117.2% 123.6% 128.6% 105.2% China 120, % 119, % 100, % 126, % 165, % 198, % 282, % 412, % 522, % 99.6% 84.1% 125.7% 130.5% 120.5% 142.3% 145.8% 126.7% Taiwan 31, % 31, % 16, % 22, % 38, % 54, % 68, % 62, % 92, % 100.4% 52.9% 137.1% 167.5% 142.9% 126.4% 90.5% 149.4% USA 11, % 15, % 16, % 22, % 39, % 69, % 132, % 265, % 403, % 126.2% 110.8% 137.1% 174.5% 173.9% 190.4% 200.4% 152.0% Europe 3, % 4, % 9, % 13, % 18, % 32, % 68, % 142, % 203, % 127.3% 225.5% 142.4% 133.6% 176.1% 210.3% 209.7% 142.6% Total 993, % 1,072, % 972, % 1,094, % 1,247, % 1,471, % 1,885, % 2,563, % 3,056, % 108.0% 90.7% 112.6% 113.9% 118.0% 128.1% 136.0% 119.2% FY 2010 (Estimate) FY 2011 FY 2012 FY 2013 FY 2014 FY 2015 Country / Area distinction LIB World Market Size Transition & Forecast (Value) Country / Area distinction LIB World Market Size Transition/Forecast (Value) (Unit: Million yen) 3,500, % 3,000,000 80% 2,500,000 2,000,000 60% 1,500,000 40% 1,000, ,000 20% 0 FY 2007 FY 2009 FY 2011 FY 2013 FY % FY 2007 FY 2009 FY 2011 FY 2013 FY 2015 Japan Korea China Taiwan USA Europe Japan Korea China Taiwan USA Europe 9

11 Chapter 3. Lithiumion Battery Cell Market: by countries/areas 33.Lithiumion Battery Cell Market: Korea In Korea, two major players, Samsung SDI and LG Chem, have made aggressive capital investments in their production facilities and been steadily expanding the shipments of LIB cells for consumer applications, further increasing their presence in the market. In recent years, SK Energy has newly entered into the market, while smalltomediumsized LIB manufacturers such as Kokam and EnerTec have also appeared. While the Korean LIB application market is small in size, it serves large corporate groups such as Samsung, LG and Hyundai, through which products are sold worldwide. As such, the Korean LIB market resides in an environment with growth potential. Korea is also allocating its efforts to electricpowered automobiles and other medium and largesize applications. Manufacturers have been pursuing joint venture businesses with foreign automotiverelated manufacturers. Samsung SDI has jointly established an LIB plant for automobiles with BOSCH of Germany. LG Chem established a LIB plant for EV of GM through Compact Power, its whollyowned subsidiary in the U.S. SK Energy entered the LIB market for invehicle use. Although they are a latecomer, they have attained the role of supplying products to Mitsubishi Fuso Bus and Truck Corporation and Hyundai Motor Company. There is a limited number of players within the country. It is conceivable that the shares of Korean manufacturers in the overall LIB market will see relative decreases. Meanwhile, given the strong price competitiveness, LIBs for consumer applications are expected to continue, accounting for a major portion of the market. Korea ranks No. 2 in the level of technological maturity of LIB cells. However, the country has weaknesses in its component and material technologies and is quite dependent on imports. Focused investment in research and development for components and materials is required to achieve the domestic production, and to secure the core technologies for the next generation. The country has formulated a plan to become a technologically advanced nation by means of concentrating efforts on the research and development of positive and negative electrode materials that may impact greatly on medium and largesize batteries in terms of safety, price and service life. In terms of applications, Korea is exerting efforts aimed at quickly securing the necessary technologies for medium and largesize LIB cells for use in green cars, green homes and for the storage of renewable power supplies, which are expected to grow in the future. 10

12 Chapter 4 Lithiumion Battery Cell Market: by manufacturers

13 Chapter 4. Lithiumion Battery Cell Market: by manufacturers 41.Lithiumion Battery Cell Market: Manufacturers share LIB World Market: Share of the Manufacturers (in Value) (Unit: Million yen) Manufacturers FY 2007 FY 2008 FY 2009 FY 2010(Estimate) Amount % share Amount % share Amount % share Amount % share SANYO 260, % 270, % 250, % 260, % Sony 200, % 210, % 205, % 220, % Samsung SDI 125, % 178, % 144, % 167, % LG Chemical 79, % 70, % 99, % 131, % Panasonic 95, % 98, % 92, % 99, % Hitachi Maxell 30, % 28, % 27, % 30, % ATL 35, % 44, % 25, % 30, % Lishen 19, % 24, % 21, % 24, % BYD 61, % 57, % 35, % 24, % BAK 17, % 25, % 19, % 20, % EOne Moli 13, % 13, % 5, % 18, % GS Yuasa 2, % 3, % 6, % 15, % EnerDel 3, % 4, % 4, % 10, % others 52, % 45, % 36, % 44, % Total 993, % 1,072, % 972, % 1,094, % 108.0% 90.7% 112.6% 12

14 Chapter 5 Lithiumion Battery Component Market

15 Chapter 5. Lithiumion Battery Component Market 51.Lithiumion Battery Component Market LIB Major 4 Components: World Market Size Transition (FY in Value) (Unit: Million yen) FY 2008 FY 2009 FY 2010(Estimate) FY 2011 FY 2012 % share % share % share % share % share Cathode 157, % 153, % 184, % 211, % 239, % 97.0% 120.6% 114.9% 112.9% AnodeLIB Major 4 Components: 28,566 World 9.4% Market 30,823 Size Transition 10.2% (FY , % ,119 in Volume) 10.5% 56, % 107.9% 127.1% 115.2% 125.0% (Unit:t m2) Electrolyte FY 39, % FY 43, % FY 54, (Estimate) 14.9% FY 67, % FY 83, % % share 109.4% % share 125.7% % share 122.6% % share 123.9% % share Cathode(t) Separator 38,241 76, % 42,898 75, % 55,545 88, % 105,000 69, % 141,000 83, % 112.2% 98.4% 129.5% 117.7% 124.6% 118.9% 120.1% 134.3% Anode(t) Total 302,317 15, % 302,415 19, % 366,629 27, % 429,019 34, % 519,602 45, % 120.6% 100.0% 142.8% 121.2% 125.6% 117.0% 133.8% 121.1% Electrolyte(t) 18,700 22,500 29,710 37,300 (Estimated by Yano 47,000 Research Institute) 120.3% 132.0% 125.5% 126.0% Separator( m2 ) 306, , , , , % 127.3% 121.7% 140.0% 14 Yano Research Institute, ltd.

16 Chapter 6 Lithiumion Battery Cathode Market

17 Chapter 6. Lithiumion Battery Component Market: Cathode 61.Lithiumion Battery Component Market: Cathode (Overall) LIB Cathode Materials: World Market Size Transition by Material (2008/Result 2012/Forecast in Volume) (Unit: ton) FY 2008 FY 2009 FY 2010(Estimate) FY 2011 FY 2012 % share % share % share % share % share Lithium cobalt oxide (LCO) 23, % 22, % 26, % 29, % 30, % 97.9% 118.4% 110.8% 104.0% Ternary cathode material (NCM) 7, % 10, % 14, % 17, % 24, % 147.5% 135.6% 122.6% 136.2% Lithium manganate (LMO) 4, % 4, % 8, % 14, % 17, % 121.8% 168.2% 169.5% 127.1% Lithium nickel oxide (NCA) 2, % 2, % 3, % 4, % 6, % 116.4% 126.4% 127.2% 128.4% Lithium iron phosphate (LFP) 1, % 1, % 2, % 3, % 4, % 131.8% 132.0% 132.8% 138.5% Total 38, % 42, % 55, % 69, % 83, % 112.2% 129.5% 124.6% 120.1% LIB Cathode Materials: World Market Size Transition by Material (2008/Result 2012/Forecast in Volume) LIB Cathode Materials: World Market Size, Distribution by Material (2008/Result 2012/Forecast in Volume) (t) LCO NCM LMO NCA LPF (%) LCO NCM LMO NCA LPF 90,000 80,000 70,000 60,000 50,000 40,000 30,000 20,000 10,000 0 FY 2008 FY 2009 FY 2010 (Estimate) FY 2011 FY % 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% FY 2008 FY 2009 FY 2010 (Estimate) FY 2011 FY Yano Research Institute, ltd.

18 Chapter 6. Lithiumion Battery Component Market: Cathode The shipment of LCO which is primarily for consumer portable devices decreased yearonyear in fiscal 2009 due to the effects of the Lehman Shock of the previous year. However, the shipment of the other cathode materials has increased. Consequently, the overall cathode material market has increased from the preceding year. Shipments for all cathode materials have been on the increase during fiscal In particular, LMO has been showing higher growth than any other material, supported by the start of fullfledged operation of the EV market. It accounts for 168.2% of the preceding year. The overall market is projected to continue growing at a pace of 20% yearonyear during the fiscal years of 2011 and The increase in shipment for medium and largesize applications, primarily for invehicle use, will drive the overall market. While the shipment of LCO will increase compared to the previous year, supported by the introduction of new applications such as smart phones, the pace of growth is expected to slow down. Historical changes in the material mix ratio of the market indicate that the manufacturers are more quickly shifting away from using cobalt, and increasing the ratio of NCM and LMO. The Needs for NCM and LMO as alternatives to LCO is increasing, while the shipment for invehicle applications is also increasing. NCA shows no considerable growth for use in portable devices, however, the demand for mixed formulation for invehicle use is driving the market. While the adoption of LFP in medium and largesize applications is expected to increase in the future, the market growth of LFP is likely to become apparent in or after fiscal 2013 when the fullblown application of LFP is expected to start. In terms of value, the market declined yearonyear in fiscal 2009, although it is estimated to shift again towards growth in and after fiscal The primary cause of market shrinkage in fiscal 2009 was the price factors of LCO. Although the price of cobalt surged suddenly in fiscal 2008, the market prices regained stability in fiscal 2009 and the average price of LCO had been restored to the previous level. Looking at the market by material, the price of LCO which has excellent cost performance, is expected to be reduced when massproduction for EV fully rolls out. Thus, the shipment in value may not grow, not so much as the growth in volume. Foreign manufacturers of cathode materials are expected to increase their strengths in LCO and NCM business with their advantage of cost competitiveness. As a result, the growth in value is likely to be smaller than the increase in volume. 17 Yano Research Institute, ltd.

19 Chapter 6. Lithiumion Battery Component Market: Cathode World LIB Cathode Materials Market Size & Share Transition by Manufacturer (FY 2008/Result to FY2010/Estimate in Volume) (Unit: ton) FY 2008 FY 2009 FY 2010(Estimate) % share % share % share NICHIA 7, % 6, % 6, % 85.7% 111.7% UMICORE 5, % 5, % 5, % 90.9% 114.0% Hunan shanshan 2, % 3, % 5, % 143.7% 152.0% L&F 1, % 3, % 5, % 230.8% 166.7% CITIC GUOAN 1, % 2, % 3, % 128.6% 131.1% SANTOKU 1, % 1, % 2, % 141.7% 141.2% LG Chem(Inhouse) 1, % 2, % 2, % 133.3% 117.5% AGC SEIMI CHEMICAL 2, % 1, % 2, % 87.4% 114.5% TODA KOGYO 1, % 2, % 2, % 110.7% 100.0% Nippon Denko % % 2, % 111.1% 400.0% Panasonic Energy(Inhouse) 1, % 1, % 1, % 100.0% 100.0% NIPPON CHEMICAL 1, % 1, % 1, % 90.8% 115.1% others 9, % 11, % 15, % 120.9% 131.8% Total 38, % 42, % 55, % 112.2% 129.5% World LIB Cathode Materials Market Size & Share Transition by Manufacturer (FY 2008/Result to FY 2010/Estimate in Value) (Unit: Million yen) FY 2008 FY 2009 FY 2010(Estimate) % share % share % share NICHIA 34, % 24, % 26, % 71.3% 107.6% UMICORE 18, % 15, % 16, % 82.9% 110.1% Hunan shanshan 7, % 10, % 14, % 132.5% 143.8% AGC SEIMI CHEMICAL 13, % 9, % 10, % 72.8% 114.5% SANTOKU 6, % 7, % 10, % 115.9% 141.2% L&F 5, % 7, % 9, % 123.1% 134.8% CITIC GUOAN 6, % 7, % 8, % 121.1% 122.3% TODA KOGYO 11, % 9, % 8, % 88.2% 86.7% Panasonic Energy(Inhouse) 9, % 8, % 8, % 89.0% 100.0% LG Chem(Inhouse) 4, % 5, % 6, % 124.7% 109.4% NIPPON CHEMICAL 4, % 4, % 5, % 83.5% 120.8% Tanaka Chemical 4, % 4, % 4, % 82.6% 100.0% others 30, % 39, % 54, % 127.6% 137.6% Total 157, % 153, % 184, % 97.0% 120.6% 18 Yano Research Institute, ltd.

20 Chapter 6. Lithiumion Battery Component Market: Cathode 63.Lithiumion Battery Component Market: NCM Ternary Cathode Material (NCM) Shipment volume Value NCM World Market Size Transition (2008/Result 2012/Forecast in Volume and in Value) (Unit:t/Million yen) FY 2008 FY 2009 FY 2010(Estimate) FY 2011 FY ,222 10, % 14, % 17, % 24, % 25,288 32, % 41, % 51, % 64, % NCM World Market Size Transition (2008/Result 2012/Forecast in Volume) NCM World Market Size Transition (2008/Result 2012/Forecast in Value) (t) (Million yen) 25,000 70,000 20,000 60,000 50,000 15,000 40,000 10,000 5,000 30,000 20,000 10,000 0 FY 2008 FY 2009 FY 2010 (Estimate) FY 2011 FY FY 2008 FY 2009 FY 2010 (Estimate) FY 2011 FY Yano Research Institute, ltd.

21 Chapter 7 Lithiumion Battery Anode Market

22 Chapter 7. Lithiumion Battery Component Market: Anode 71.Lithiumion Battery Component Market: Anode (Overall) Graphite base LIB Anode Material World Market Size Transition (FY 2008 to 2012/Forecast in Volume) Volume (t) FY 2008 FY 2009 FY 2010(Estimate) FY 2011 FY 2012 % share % share % share % share % share Artificial graphite 10, % 10, % 13, % 15, % 19, % 96.3% 129.2% 118.5% 123.7% Natural graphite 5, % 8, % 13, % 17, % 24, % 166.0% 155.3% 131.9% 141.2% others % % % 1, % 1, % 417.6% 241.8% 138.7% 162.1% Total 15, % 19, % 27, % 34, % 45, % 120.6% 142.8% 125.6% 133.8% (Source: Estimated by Yano Research Institute) LIB Anode Material World Market Size Transition (FY 2008 to 2012/Forecast in Volume) (t) 50,000 40,000 othes Natural graphite Artificial graphite 30,000 20,000 10,000 0 FY 2008 FY 2009 FY 2010 (Estimate) FY 2011 FY 2012 (Source: Estimated by Yano Research Institute) 21 Yano Research Institute, ltd.

23 Chapter 7. Lithiumion Battery Component Market: Anode Production Capacity & Production Increase Plan of Manufacturers Anode material manufacturer Production site Type of anode material Production capacity Consumer products: t/month =7,200~8,400t/year * Both artificial and natural graphite anode materials are used for consumer products. Artificial graphite/natural graphite Invehicle products: t/month (October 2010) Hitachi Chemical Yamazaki Works *Only natural graphite anode material is used for all the invehicle products. Production capacity will be increased to about 10,000t/month in early Soft carbon 1020t/month (2010) JFE Chemical Kurashiki Plant/Kasaoka Plant Chiba Plant(Chiba, Chiba) Artificial graphite 5,200t/year (October 2010) Nippon Carbon Toyama Plant Artificial graphite/natural graphite 300t/month = 3,600t/year (2010) Plan for further enhancement, capacity not yet decided Current: 3,000t/year 5,000t/year (2010) Sakaide Plant(Sakaide, Kagawa) 7,000t/year in May ,000t/year in 2015 (11.7 times) China (New facilities for the major material, Natural graphite MITSUBISHI CHEMICAL 2,000t/year (May 2010) for spheroidal graphite spheroidal graphite Afterward, plan to start 4,000t/year (Sep 2010) for spheroidal graphite and anode material the production of anode materials) production Artificial graphite 2,500t/year CHUO DENKI KOGYO Osaka Plant (Existing in 2010) Production capacity of 100t/month (2010) Natural graphite Myoko Plant (Enhancement) 400t/month (2015) SHOWA DENKO Omachi Plant Artificial graphite 1,000t/year 3,000t/year (2012: Already) 600t/year (2010) Iwaki Factory KUREHA Hard carbon 1,600t/year (Commercial production from Jan 2012) U.S.A. 1,000t/year (Start in 2013) MITSUI KINZOKU Japan Metal silicon base Not yet determined 250t/year (2010) 1,000t/year (2011) Nippon Power Graphite Kitakyushu Plant Natural graphite 2,000t/year (2011 & later) Finally to 5,000t/year Titan Kogyo Lithium titanate Not disclosed ISHIHARA SANGYO Yokkaichi Plant Lithium titanate 20 to 1.000t/year Further enhancement plan OSAKA GAS CHEMICALS Carbon Fiber Materials Production Center Artificial graphite 2,000t/year (Up to 2008) (Source: Prepared by Yano Reserch Institute based on the various literatures and interviews) 22 Yano Research Institute, ltd.

24 Chapter 8. Lithiumion Battery Component Market: Electrolyte Solution/Electrolyte Chapter 8 Lithiumion Battery Electrolyte Solution/Electrolyte Market 23

25 Chapter 8. Lithiumion Battery Component Market: Electrolyte Solution/Electrolyte LIB Electrolyte Solution World Market: Market Share Transition by countries (FY 2008 to 2010/Estimate in Volume) (Unit: 1000m2 ) FY 2008 FY 2009 FY 2010(Estimate) % share % share % share Japan 11, % 10, % 12, % ー 95.5% 114.3% Korea 1, % 2, % 4, % ー 180.0% 174.4% China 6, % 9, % 13, % ー 150.0% 139.8% Total 18, % 22, % 29, % 120.3% 132.0% (Source: Estimated by Yano Research Institute) LIB Electrolyte Solution World Market: Market Share Transition by countries (FY 2008 to 2010/Estimate in Value) (Unit: Million yen) FY 2008 FY 2009 FY 2010(Estimate) % share % share % share Japan 28, % 25, % 27, % ー 89.2% 108.0% Korea 2, % 4, % 7, % ー 200.0% 175.0% China 9, % 14, % 20, % ー 149.3% 142.6% Total 39, % 43, % 54, % 109.4% 125.7% (Source: Estimated by Yano Research Institute) In the electrolyte solution market, shares of Japanese manufactures are on the decline. In terms of shipping volume, they accounted for 11,000 tons or 58.8% in fiscal 2008 and 12,000 tons or 40.4% in fiscal On the other hand, Korean and Chinese manufacturers are increasing their shares due to the strength of LIB manufacturers in their countries. From fiscal 2008 through fiscal 2010, Korean manufacturers increased their shares from 8.0% to 15.9% while Chinese manufacturers expanded from 33.2% to 43.8%. These trends will continue for the time being. However, once the medium and largesize LIB market has been launched (for automotive applications etc.), manufacturers and countries that quickly have established their positioning in the market will expand their shares quickly and considerably thereafter. 24

26 Chapter 8. Lithiumion Battery Component Market: Electrolyte Solution/Electrolyte 812.Lithiumion Battery Component Market: Electrolyte In Volume In Value LIB Electrolyte World Market Size Transition (FY 2008 to 2012/Forecast) (Unit:t, Million yen) FY 2008 FY 2009 FY 2010(Estimate) FY 2011 FY ,520 3, % 4, % 5, % 7, % 10,819 13, % 18, % 20, % 25, % (Source: Estimated by Yano Research Institute) LIB Electrolyte World Market Size Transition (FY 2008 to 2012/Forecast in Volume) LIB Electrolyte World Market Size Transition (FY 2008 to 2012/Forecast in Value) (t) 8,000 (million yen) 30,000 7,000 6,000 5,000 25,000 20,000 4,000 15,000 3,000 2,000 1,000 10,000 5,000 0 FY 2008 FY 2010(Estimate) FY FY 2008 FY 2010(Estimate) FY 2012 (Source: Estimated by Yano Research Institute) (Source: Estimated by Yano Research Institute) 25

27 Chapter 9 Lithiumion Battery Separator Market

28 Chapter 9. Lithiumion Battery Component Market: Separator 91.Lithiumion Battery Component Market: Separator In Volume In Value LIB Separator World Market Size Transition (FY 2008/Result to 2012/Forecast) (Unit: 1,000m2, Million yen) FY 2008 FY 2009 FY 2010(Estimate) FY 2011 FY , , % 410, % 500, % 700, % 76,311 75, % 88, % 105, % 141, % (Source: Estimated by Yano Research Institute) (1,000m2) 700, , , , , , ,000 0 LIB Separator World Market Size Transition (FY 2008/Result to 2012/Forecast in Volume) FY 2008 FY 2010(Estimate) FY 2012 (million yen) 160, , , ,000 80,000 60,000 40,000 20,000 0 LIB Separator World Market Size Transition (FY 2008/Result to 2012/Forecast in Value) FY 2008 FY 2010(Estimate) FY 2012 (Source: Estimated by Yano Research Institute) (Source: Estimated by Yano Research Institute) 27 Yano Research Institute, ltd.

29 Chapter 9. Lithiumion Battery Component Market: Separator In terms of thermal resistance, cellulosebased and nonwoven fabric based new separators have been commercialized in the market. Cellulosebased separators offer high thermal resistance with no substantial thermal shrinkage, and hence achieve better combination with electrolyte solutions. Due to their low electrical resistance, these separators do not suppress the movements of lithium ions and achieve lower energy loss. Nonwoven fabric is formed by processing polyolefin into extremely thin fabric of about several μm, which is then coated with nonorganic particles of several hundred nm to 1 μm in order to add thermal resistance. Even when the polyolefin melts away, the nonorganic substance remains and prevents electrodes from contacting each other. In both types of separators, an issue is the insufficient strength. Cellulosebased separators have low resistance against stretching, while nonwoven fabricbased separators are weak due to the thin fiber of the fabric and the larger rate of porosity. Hence, they are not so suitable for coil type LIB cells (they are suitable for layerbuilt cells). While thinner film is required to enhance capacity, it is difficult to do so due to the strength issue. If fibers are stacked in high density to enhance the strength, ion transmittance is sacrificed. It is hoped that the manufacturers will catch opportunities with special niche applications, then gradually accumulate their successful applications and reliability in the market, which may lead to the cost reduction. Separator is not a component that directly contributes to enhancing the capacity and output of LIB cell, and does not have the energy charge and discharge functions. Hence, it is the last component to be determined. In order to achieve the respective features of the LIB cell produced, the most suitable separator is selected in terms of porosity ratio, transmittance ratio, thickness of film and strength. When a change is made to a product, it is customized accordingly for each LIB cell manufacturer. However, for reasons such as past performance, reliability and feasibility in production, suppliers are rarely changed. Separator manufacturers are expected to provide stable supply. Therefore, the key elements in the recent years have been: price, continuous stable supply, and past performance (reliability). As of fiscal 2010, the prices of wettype separators range from 200 to 300 yen/m 2 while the prices of drytype separators have been lowered to about 200 yen/m 2. Korean and Chinese separators are priced lower. In China, the dry type is mainly used and even a highgrade separator costs around 150 yen /m 2. In Korea, many manufacturers are focusing on the wet type, and although their products do not differ greatly from Japanese products, prices are about 20% lower, partly due to the effects of strong yen. 28 Yano Research Institute, ltd.

30 Lithiumion Battery Market: Cell & Components 2011 Price: 315,000 (JPY) (Incl. Japanese consumption tax) (Report price: 300,000 + Consumption tax: 15,000) Published in March 2011 Publisher: Yano Research Institute Ltd. Researched and Edited by Chemical Materials & Electronics and Optics Research Department 2462 Honcho, Nakanoku, Tokyo , JAPAN Phone: Facsimile: Osaka Office: 186 Azuchimachi, Chuoku, Osaka Nagoya Office: 23 ShinSakaemachi, Nakaku, Nagoya, Aichi Seoul Office: 1206, Leema Bldg., Susongdong,Chongroku, Seoul, , Korea Phone: Phone: Phone: Facsimile: Shanghai Office: Westgate Tower Room 1609A 1038 Nanjing Xi Lu, Shanghai, CHINA Phone: Facsimile: Taipei Office: 11F, No. 156 Minsheng East Road, Section.3, Songshan District, Taipei 105, Taiwan Phone: Facsimile: NOTICE: No part of this report may be reproduced in any form or manner without the written permission of Yano Research Institute Ltd. All rights reserved. Copyright 2011 Yano Research Institute Ltd.