- Tianneng Power is also the leader in both the electric vehicle battery and the electric bicycle lithium battery industries
BEIJING, May 5, 2015 /PR Newswire/ -- Tianneng Power International Limited ("Tianneng Power", 00819.HK) won the "2014 Best Chinese Electric Vehicle Battery Brand Based on Customer Satisfaction" award from the world's leading research group Ipsos in 2015, with a customer satisfaction index of over 98%, on the heels of being the recipient of Ipsos' Leading Chinese Motive Battery Brand award for two consecutive years. The company has received a lot of positive recognition from its customers and from the industry in general as well as stood out from its counterparts, thanks to more stable, durable products and a well-established worry-free after-sales service. The award winner was selected based on outstanding performance in end customer satisfaction, market share, sales growth, and brand perception in the marketplace. The award reaffirms Tianneng Power's position as a leading brand across the industry as well as a time proven outstanding market performer. Tianneng Power had gained a 55% share of the electric vehicle battery market and a 25% share of the electric bicycle lithium battery market during 2014, in both cases, the largest share in the two sectors, according to Ipsos' forecast.
China's battery market is expected to achieve a CAGR of 14% from 2014 to 2020, driven by the strong demand from environmentally friendly electric vehicle manufacturers as a result of the Chinese government encouraging the use of alternative energy to reduce the dependence on oil and take control over the emissions that cause smog, said Ipsos in a report entitled Analysis on China's Electric Vehicle and Motive Battery Market and Industry in 2014. China's battery sales are expected to reach $14.9 billion by 2020, more than doubling from $6.9 billion in 2014, data from Ipsos show. "Battery demand in China is expected to skyrocket by 2020, benefiting from government policies that favor the new-energy vehicle market, electric bicycle ownership on a mass scale and the explosive growth in the electric tricycle market," explained Cui Xiaobo, director of Ipsos Business Consulting Beijing.
As the Chinese government has supported efforts in the development and popularization of energy-saving and environment friendly products, 12 cities and regions including Shenyang, Changchun and Harbin have been included in thelist of the second group of regions where efforts in connection with the promotion and application of new energy vehicles will be enhanced. Eleven provinces and cities including Fujian, Shandong, Sichuan and Datong have put in place policies which encourage the development of micro-electric vehicles, positioning the micro-electric vehicle market to grow rapidly. Ownership of micro-electric vehicles in China had already reached 680,000 units in 2014. Ipsos expects the figure to jump to 5.09 million units by 2020. In addition, competitively priced lead batteries that power micro-electric vehicles are also on track to enjoy a boom in the future. In tandem with strong sales of new energy vehicles worldwide since 2009, China has become the world's second largest new energy vehicle market. The country is expected to become the world's largest new energy vehicle market this year. Ipsos Business Consulting expects China's sales of lithium battery-powered pure electric vehicles to reach 677,000 units by 2020 and the CAGR of demand for lithium battery used in electric vehicles to reach 45% between 2014 and 2020.
Meanwhile, electric bicycle ownership in China reached approximately 130 million units as of the end of 2014, driven by increased buying power in rural areas and the jump in sales of lithium battery-powered electric bicycles. Ipsos Business Consulting predicts that production oflithium battery-powered electric bicycles in the country is expected to grow at around 20% over the next three years, making lithium battery-powered electric bicycles the new drivers of the market.Electrical tricycle sales grew 30% year-on-year to 11.3 million units in 2014, largely as a result of the popularity among senior citizens in rural areas as well as the establishment of additional production facilities. Ownership of electrical tricycles is expected to increase to approximately 100 million units by 2020, in concert with the growth of the country's aging population. Sales of motive batteries for electric tricycles are forecast to achieve a CAGR of 24% between 2014 and 2020, eventually hitting US$7.14 billion and creating a huge market of similar size with that for electric bicycle batteries.
The rise of a market for micro-electric vehicles in China will significantly spur demand for both lead and lithium batteries, while strong growth of new energy vehicles will lead to an explosive growth of the lithium variety. Prospects for firms in the electric vehicle ecosystem are expected to be promising.
About Ipsos in China
Founded in Paris, France, in 1975 and publicly-listed in 1999, Ipsos is a global leading research company, which is the only independent research company that is controlled and managed by research professionals. Ipsos now has 16,000 employees, servicing 5,000+ clients, conducting 70+ million interviews per year, and executing 100,000+ annual projects across 85 countries. Ipsos now ranks 1st in the Chinese market research industry. Entering China in 2000, Ipsos in China now has offices in 5 cities including Shanghai, Beijing, Guangzhou, Chengdu, and Wuhan, and is home to around 1,500 professionals.
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About Ipsos Business Consulting
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SOURCE Beijing Ipsos Market Consulting Company Limited / PRN ASIA