SORRY IF ALREADY POSTED BUT THIS ARTICLE IS A BIG MIDDLE FINGER...

SORRY IF ALREADY POSTED BUT THIS ARTICLE IS A BIG MIDDLE FINGER TO CREDIT S#1t.

(Yicai Global) Nov. 15 -- Shares of Chinese companies in the power battery industrial chain power edged up today following a plunge yesterday, as they denied recent claims that battery makers plan to slash production after lithium carbonate prices topped CNY600,000 (USD85) a ton.

Industry titan Contemporary Amperex Technology [SHE: 300750] closed 2.3 percent higher at CNY396.18 (USD56.25) a share, after dropping 3.8 percent yesterday. Eve Energy [SHE: 300014] rose 1.2 percent to CNY89.45, following a 5.8 percent retreat yesterday, while Gotion High-Tech [SHE: 002074] ended up 1.8 percent at CNY33.67, having suffered a 2.9 percent fall yesterday.

Fourth-quarter production was in line with expectations with no adjustment expected, CATL told an analyst in response yesterday, adding that the Ningde-based battery maker is more optimistic about next year’s expectations.

Replying to an analyst’s question, Sunwoda Electronic said production capacity was tight but there was no reduction in output.

Meanwhile, China Securities News quoted Gotion High-Tech as saying that at present, it was still producing at full capacity as planned, and is able to sell all of its products, with production continuing to increase to ensure supply.

According to an Eve Energy executive, the company’s production is normal, with the last two months’ scheduling basically unchanged. The person added that most of the capacity is used to fulfil orders with impending deadlines and some are scheduled until the end of next year.

In addition, leading electrolyte firm Guangzhou Tinci Materials Technology, top battery diaphragm maker Yunnan Energy New Material and aluminum foil giant Jinagsu Dingsheng New Materials Joint-Stock also refuted output cut claims.

During a conference call on Oct. 21, CATL said that the withdrawal of China’s new energy vehicle subsidies next year will drive demand for NEVs at the end of this year, with possible quarter-on-quarter increase in fourth-quarter sales.

Based on the firm’s comprehensive information, including communication with finished vehicle vendors, the future demand growth is relatively clear. And, once the electrification trend is determined, the penetration rate of NEVs will increase faster than expected, it added.

In the past month, many companies, including CATL, Gotion High-Tech, and Farasis Energy Gan Zhou, have announced the start of construction of power battery plants or launch of production in their plants.

Editor: Peter Thomas