Do-Fluoride is expanding its lithium battery 4G watt-hour production line

On January 2, Dofluoro (002407) released an investor survey record, elaborating on the current status of its core business and future development strategy.

In terms of fluorine chemical product management, four fluorine chemical products, namely polyfluoroaluminum fluoride, cryolite, hydrofluoric acid and lithium hexafluorophosphate, are the company's advantageous products, and their production and sales volume both rank first in the world.

At present, the price of aluminum fluoride products is at a historical high, about 12,000 yuan/ton, and 230,000 tons can be produced and sold in 2018; cryolite is suitable for the startup stage of electrolytic aluminum electrolytic cells. The demand in 2018 was relatively low, and the price was around 7,000 yuan/ton; hydrofluoric acid is an intermediate product of fluorine chemical industry, mostly for self-use, including ordinary hydrofluoric acid, photovoltaic grade hydrofluoric acid and UPSS grade hydrofluoric acid, with an annual export volume of about 40,000 to 50,000 tons.

At present, the company has a lithium hexafluorophosphate production capacity of 6,000 tons. The current domestic trade price is about 95,000 yuan/ton, which is already the cost line of most companies. The company has the advantage of raw materials in the entire industry chain, and the cost is lower than the average cost of its peers. The main customers of lithium hexafluorophosphate are BYD, Shanshan New Energy, Xinzhoubang, SOULBRAN, etc., with a domestic market share of about 35% and an international market share of about 20%.

Dofluoro predicts that as new energy vehicles are accepted by consumers and production and sales continue to grow in the future, the market demand for lithium hexafluorophosphate is expected to grow rapidly in 2019 and prices will rise steadily.

It is worth mentioning that in addition to lithium hexafluorophosphate and electronic-grade hydrofluoric acid, the company has also developed high-end fine chemical products for integrated circuits such as electronic-grade nitric acid, electronic-grade ammonia water, and electronic-grade ammonium fluoride.

In terms of lithium batteries, Dofluoro said that the company focuses on the research and development and manufacturing of polymer soft-pack batteries. The product has the characteristics of high energy density, good high-rate charging and discharging effect, and high safety performance, which adapts to the development direction of new energy vehicle use.

In addition, the company is committed to the research and development of lithium battery materials and has technical advantages. At present, the company's lithium battery production capacity is 1.5G watt-hours, and it is expanding the 4G watt-hour production line and planning a 10G watt-hour production line. With the rapid growth of demand for new energy vehicles, the company's power lithium battery will also simultaneously expand its production capacity and increase output.

Regarding future development plans, Do-Fluoride said: "The company will implement the corporate strategy of 'actively developing new materials, orderly developing lithium batteries, and steadily developing new energy vehicles', and implement the 24-character management policy of 'centralized control and service, professional operation, multi-dimensional system, interconnection, value creation, and intelligent responsibility'. Digital transformation promotes operational transformation and takes the path of global resource integration and large-scale operation."