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Why BYD Abandon The Lithium Iron Phosphate Battery?
Apr 17, 2018

BYD has quietly done one thing this year, and it has not aroused widespread concern in the industry.

That is BYD's new energy passenger car, which uses ternary lithium batteries for batteries. We should not underestimate the replacement of the battery, this shows that BYD's future in the new energy passenger car power system transformation will be from the original lithium iron phosphate battery to the ternary lithium battery transformation. Lithium iron phosphate batteries were once the most important technology BYD cars, whether the transition means that lithium iron phosphate battery has been abandoned?

Why did BYD attach importance to lithium iron phosphate batteries? To make this clear, let's first look at why BYD used to do a great effort to develop lithium iron phosphate batteries. In fact, BYD was fully prepared, and then analyzed the international situation, battery technology under the premise of making the choice, but the development of the Times, the emergence of giants, so that BYD gradually lost its edge.

1. Lithium manganese oxide and lithium ternary core technology, are in the hands of Japanese and Korean enterprises. In the car battery industry, the Japanese and Korean enterprises have mastered the core technology of lithium manganese oxide and ternary lithium early. In particular, ternary lithium, whether it is technology, technology or equipment, Japan and South Korea industry leaders have reached a very mature and stable stage.

So Tesla, BMW, the international giants in the development of new energy vehicles will also be the first choice for Panasonic, South Korea, Samsung, the internationally well-known products. If BYD had been involved in ternary lithium batteries, it would not compete with Japanese and Korean manufacturers.

2. BYD Lithium iron phosphate battery competitive pressure is small. At that time, the lithium iron phosphate batteries, Japan and South Korea enterprises are not involved, but also not without competitors. There are two companies in the United States A123 and Valence are major producers of lithium iron phosphate batteries, but China's technology was not quite the same as the US. So BYD choose lithium iron phosphate battery as a breakthrough, can quickly reach the world's top level.

3. China's cobalt and nickel resources are extremely scarce According to the Ministry of Land and Resources 2012 announced the 2011 National Mineral Resources Reserves, China's cobalt reserves base of 79,900 tons, resource volume of 566,000 tons, with mining significance reserves of only 42,100 tons, accounting for the identification of 645,900 tons of resources reserves 6.5%.

China's cobalt resource reserves accounted for only 1% of the global total, and import dependence was over 90%. and the formula of ternary lithium battery is inseparable from cobalt and nickel, the two kinds of precious metals. And both kinds of precious metals have international futures trading, the price is not only high, but also volatile. Lithium iron phosphate batteries do not have the above two kinds of precious metals, so this is why BYD initially developed lithium iron phosphate battery reason.

4. The stability of lithium iron phosphate battery under high temperature In the car battery technology is not very mature time, the battery will often explode (now, Tesla is still not able to completely solve the problem of security) Therefore, security is considered the first car battery.

Lithium iron phosphate batteries in high-temperature conditions are relatively stable, so from the safety considerations, lithium iron phosphate battery is logically the best choice. So BYD's rapid rise in lithium iron phosphate batteries has become one of the world's leading manufacturers of electric cars and batteries. However, BYD is now gradually abandoning lithium iron phosphate and switching to lithium-ion batteries. Why is that?

1.Ternary lithium Battery low temperature discharge performance is better China is a large area, in the cold weather in the north, BYD's lithium iron phosphate battery is more severe attenuation. The discharge performance of ternary lithium battery in low temperature condition is better. So BYD's sales in northern China have been low for a long time and have not been fully recognised by the market.

2. Lithium batteries have high energy density and high charging efficiency. At present, the construction of new energy vehicle infrastructure is not perfect. Whose mileage is long determines whose car is better. Life is always the most concerned thing about new energy cars. The energy density and charge efficiency of ternary lithium battery are better than that of lithium iron phosphate. At Baic, SAIC's new energy vehicles are turning to lithium-ion batteries, and BYD's new energy vehicles have become increasingly disadvantaged in their endurance and charge.

3. Only BYD adhere to the iron phosphate, become a loner In the field of electric vehicles, Tesla is the benchmark for many companies. The traditional car manufacturers in the transfer of new energy vehicles, without exception, the use of ternary lithium batteries.

So BYD became a loner for lithium iron phosphate, even though BYD's new energy car sales are huge, but it's hard to compete with so many companies. At present, China's electric vehicle electrical field, ranked first is not BYD, but Ningde era. Ningde era is Baic, SAIC, Geely, Dongfeng, Changan suppliers. So BYD's one firm, however, is still competing for so many new energy models, so BYD eventually gave up lithium iron phosphate, using ternary lithium batteries.

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