Recent data shows that from January to September this year, the production and sales of new energy vehicles have increased by 40.2% and 37.7%, respectively, compared to the same period last year. With ongoing policy support, the industry is expected to see even greater growth opportunities. The entire supply chain is witnessing strong development, with upstream raw material sectors showing continued prosperity. In the middle and lower parts of the chain, including electrical systems, battery technology, and related components, there are signs of improvement or a potential turnaround. The rising cost of raw materials remains a key challenge for the sector. Several companies listed on the New Third Board, such as Ronghui Lithium, BJJ, Jinyuan New Materials, Jinchuan Technology, Sino First, Jiayuan Technology, Jinli Permanent Magnet, and others, are heavily involved in producing essential materials like lithium carbonate, lithium hydroxide, cobalt sulfate, osmium tetroxide, electrolytic copper foil, and permanent magnet materials. In the first half of this year, these companies saw significant improvements in their financial performance. For instance, the seven mentioned companies reported operating income of 3.05 billion yuan, a 62% increase year-on-year, while net profit reached 706 million yuan, up 288%. This was mainly driven by strong downstream demand and sustained high product prices. Ronghui Lithium, for example, highlighted that the lithium market remains highly competitive, with strong demand for lithium batteries and stable pricing for lithium carbonate. Cobalt-related companies also experienced dramatic gains. Jinchuan Technology achieved a net profit of 447 million yuan in the first half of the year, a 2545.63% increase over the same period last year. The company attributed this to rising cobalt prices and growing demand for its nickel-cobalt-manganese precursor products. Similarly, Jinyuan New Materials saw a net profit increase of 835.34%, citing increased demand from the new energy sector and a recovering cobalt market since 2017. However, not all companies enjoyed the same level of success. BaiJerui, which produces lithium salts used in electric vehicles and consumer electronics, only saw a 5.88% increase in net profit. The company noted that fluctuating raw material prices and strategic pricing adjustments for long-term customers limited its growth. Analysts believe that the outlook for the new energy vehicle industry remains positive. Cobalt prices have risen by about 60% this year, and despite recent adjustments, they are still expected to climb in the fourth quarter, which will likely continue to benefit related companies. Ternary materials are also showing strong growth. Companies like Anda Technologies, Betrix, Tianli Lithium Energy, and others are seeing improved performance, especially those producing ternary cathode materials. However, lithium iron phosphate producers have faced challenges, with some reporting declining profits due to price pressures and rising raw material costs. Meanwhile, the wet diaphragm segment faces supply shortages. Companies such as Jinli Group and Nuomemi Technology have seen stable growth, but competition varies widely. Some firms, like Asahi Technology, have struggled due to reduced demand from downstream battery manufacturers, influenced by changes in government subsidy policies. Battery companies have seen revenue growth, but their gross profit margins have declined. Ten new three-board companies, including Weining Power and Tianfeng Power, reported a 65% increase in operating income but only a 31% rise in net profit. Rising raw material costs, particularly for cobalt and lithium, have squeezed margins. Analysts expect this trend to persist unless upstream supply stabilizes. The electric control industry is also experiencing a turning point. Companies like Dadi Hezhong and Micro-motor have seen declines in profits due to policy changes and rising material costs. However, many expect a rebound in the second half of the year as new energy vehicle sales pick up. Charging pile companies show mixed results. While some, like Guochong Charging, have seen revenue increases, others have faced losses due to high initial investment and slow return on projects. Despite this, the long-term potential for charging infrastructure remains strong as the new energy vehicle market expands. Overall, the new energy vehicle industry continues to grow, driven by policy support, technological advancements, and increasing consumer demand. While challenges remain, the sector is poised for further development, offering numerous opportunities for companies across the supply chain. Dust Explosion Proof Motor,Explosion Proof Induction Ac Motor,Special Explosion-Proof Motor,Dust Explosion Protection Motors Yizheng Beide Material Co., Ltd. , https://www.beidevendor.com