Zhong Guo Neng Yuan Wang·2026-01-04 01:44Core Insights - The report from Donghai Securities outlines the investment strategy for the power equipment and new energy sector, projecting significant growth in battery demand driven by high increments in power batteries and rapid growth in energy storage batteries [1][2] Group 1: Battery Demand Projections - By 2026, the demand for power batteries, energy storage batteries, and consumer batteries is expected to reach 1612 GWh, 453 GWh, and 100 GWh respectively, totaling 2166 GWh, with a compound annual growth rate (CAGR) exceeding 25% from 2025 to 2027 [1][2] - In October 2025, the domestic production of power and other batteries reached 170.6 GWh, reflecting a month-on-month growth of 12.9% and a year-on-year growth of 50.5%, indicating strong growth momentum [1][2] Group 2: Industry Growth Trends - Cumulative production for the first ten months of 2025 reached 1292.5 GWh, with a year-on-year increase of 51.3%, maintaining a high growth rate for the entire year [2] - Historical data shows that the cumulative production for 2023 was 778.1 GWh (up 42.5% year-on-year) and for 2024 was 1096.8 GWh (up 41.0% year-on-year), with 2025's production already surpassing 2024's total [2] Group 3: Market Share Dynamics - The duopoly of CATL and BYD remains stable, holding a combined market share of approximately 65.8% in 2025, although both companies experienced slight declines in market share compared to 2022 (CATL down 4.0%, BYD down 1.8%) [3] - Second-tier companies like Zhongchuang Innovation and Guoxuan High-Tech have seen steady increases in market share, with Guoxuan High-Tech reaching 6.7% in Q4 2025, narrowing the gap with the leaders [3] - New and smaller players are entering the market, with companies like Geely Yaoning and Chuxin New Energy achieving market shares of 1.0% and 0.7% respectively in 2025, indicating a more diversified competitive landscape [3] - Some foreign and marginal players are struggling, with LG Energy's market share declining by 0.3% and SK's share becoming negligible, reflecting weakened competitiveness in the domestic market [3]