Samsung SDI lithium battery technology and its development in China market

From June 20 to 21, 2016, the people's government of qinghai province, the ministry of science and technology, the ministry of industry and information technology and the China electric vehicle hundred people's association held the "lithium industry -- new ecology" international summit BBS in xining, qinghai. The theme of gao feng BBS is "building a sustainable lithium industry new ecology". It will conduct in-depth exchanges around the industry innovation chain and industrial chain cooperation concerned by the international community, and discuss policies, cooperation and how to build a sustainable lithium industry new ecology. The following is the transcript of remarks made by the vice President of Samsung SDI co., LTD.

Brief analysis: Samsung SDI lithium battery technology and its development in Chinese market

Zheng shixiong, vice President of Samsung SDI corporation

Zheng shixiong: good afternoon! My name is zheng shixiong, from Samsung SDI. On behalf of Samsung SDI's joint venture in China, I am very pleased to introduce our lithium battery technology and our development in the Chinese market.

Today I'm going to talk about three main areas. First, I'm going to talk about company functions and technology. Then I'll talk about our specific techniques and what the key features are. Finally, I'd like to talk about our industry in China, our role in the Chinese market, and what strategies we will adopt in the Chinese battery market in the future.

First, let's talk about our mission. Our goal is to be a leader in innovative energy and materials solutions. Lithium batteries are used in electronic devices, mobile phones, ipads and so on. Our lithium batteries have many other wide applications, such as some energy storage devices and some more intelligent devices. Therefore, we need to apply these advanced batteries more and more widely, and our mission is to bring more innovation to our life by solving these battery technologies, so as to improve the efficiency of our life.

Let's talk about the history of Samsung's SDI battery industry. We started moving into the battery industry 16 years ago. In 2001, we started to innovate in this field, mainly seeing the development space in laptops, mobile phones and some IT facilities, hoping to strengthen our battery technology development in these applications. Our goal is battery technology for these IT facilities. In 2009, we started to manufacture batteries for electric cars. We also hope that the development of high-energy density technology can further expand its application to more IT facilities. We also hope that some recycling technologies of batteries can enhance our competitiveness. Our main battery technology is applied in IT facilities, electric cars and energy storage.

Since 2009, we have carried out more than 500 projects, and there are more to come. We want to bring our battery technology to electric vehicles. Now let me talk about our technology in detail. Our technology strategy consists mainly of three phases, the first, long-term project. These long-term projects are being carried out by our main research and development center, SAIT, which is committed to cooperating with research institutions and universities around the world to bring more innovative results through our cooperation. Together with these universities and research institutions around the world, we have developed very competitive technologies. Also has a research center in Montreal before we have worked very frontier technology research, also has carried on the product development research, some like this project is to compare the short-term, through the product development has a more perfect plan to us considerable competitive battery technology is applied to the more extensive application area.

Battery technology is quite complex, it includes chemical aspects, including materials, including electrification, but also includes some mechanical design aspects. Samsung SDI and some of our partners in China have also made efforts to address many key challenges. The first is security and reliability. In addition, it is to lead the density of high energy ratio. Of course, this is inseparable from government subsidies, so if we say that the energy density is very high, this for new energy vehicles, such power batteries will be very cost-effective. In addition, we hope to improve efficiency through standardization. The last point is about the quality system. The quality system of manufacturing is very critical. I will introduce these aspects in a very simple way. First of all, I will take a look at it. We should know that new energy vehicles have very high requirements for safety. From the battery level, you want to make sure it's safe. The second level is about modules. The third thing is to make sure it's safe at the battery pack level. So basically, security has three characteristics of cell security. The first is to prevent overcharging, which is the OSD device, and then the hydraulic valve, and then the last feature is the fuse. By combining these three characteristics, we can produce a relatively safe type of cell. In addition to the strong mechanical structure, we will also enhance some other mechanical protection for the module. In terms of battery packs, we are very reliable in terms of temperature and battery management. Some of the research and design of battery packs is very complicated. We have about 3,000 researchers around the world, including in China, who have been working on the reliability of battery management and temperature management in battery packs. We have some partners in China to make use of the research and development technology of these battery packs, so as to make the battery use more secure and reliable in terms of battery packs.

And let's talk a little bit about energy density. Energy density is a very important aspect of battery development. We cannot rely on government subsidies forever, so we need to take the lead in this regard, even without government subsidies. This is a very important aspect for the development of Samsung SDI's battery technology in China. We hope that through the efforts of future generations, we can develop a new generation of cells to meet the range of 700-800 kilometers.

Now let's talk about standardization. We want to make battery systems more efficient and more standardized. If you want to reuse or make full use of the current battery design, you need to maximize the efficiency of this iterative development. Hybrid electric vehicles, such as the PHEV and EV, and pure electric vehicles, battery pack efficiency will be greatly enhanced.

We once had a customer who wanted to increase the efficiency of his battery based on the current design, and if we could increase the efficiency even to 10,000 amps, it would be very beneficial for future development.

Fourth, quality system. I talked about safety and reliability in the first part, but safety and reliability are based on quality production. Safety and reliability cannot be achieved without a quality manufacturing system. During the manufacturing process, we need to monitor whether more than 2000 indicators are up to standard. Our manufacturing process includes four stages, namely electrode, assembly, formation and module/battery pack. We also have specific parameters to monitor the operation of these stages, so as to improve the quality of the entire production process, improve product quality, and drive safety and reliability. Many of our electric vehicle partners in China also have their own safety standards.

Now let's talk about our joint ventures in China. There are mainly three. One is in xi 'an, one is in Tianjin and the other is in Changchun. The xi 'an plant, which began mass battery production in July last year, also has specific targets to increase its capacity, with an annual capacity of about 23,000 gigawatt hours. We have three manufacturing sites, for Samsung SDI, we hope to further enhance our production capacity to meet the needs of the Chinese market. At the same time, through our unremitting efforts, we can develop more advanced products and technology to serve the Chinese battery market and industry.

In short, we are fully committed to the development of China's battery and electric vehicle industry. We hope to increase our production capacity and enhance our capacity building in the future. Today I am here to promise you that we will be further committed to the development of the Chinese market and make more contributions to you. Thank you!

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