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China: 4Q11 Lithium Battery Market Stabilized by Chinese New Year Demand Surge

NB Battery’s Stagnant Demand Showed Signs of Rebound

According to EnergyTrend, the green energy research division of TrendForce, due to the persisting weak demand for notebook in December 2011 and the initial production downsizing taking effect, the price drop of battery cells has decreased to below 1.5%. However, in addition to the uncertain economic outlook, the standstill of assorted components’ development and the lack of new notebooks releases by the big brands stagnated the market, which resulted in the bleak demand that continued to impede battery makers.

Nonetheless, based on the shipments of components including battery, the market has shown a minor demand surge, which EnergyTrend refers to the fewer working days in January 2012 due to the Chinese New Year holiday and the expected labor shortage in February. The impending Chinese New Year holiday revived the dreary market outlook.
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