New energy vehicle sales will increase by 30% annually in 2023, with 40% of the cost coming

As long as the car can use "electricity" drive, can be called electric vehicles (EV), which will further increase the reliance on electronic components, which will drive the entire semiconductor industry. The biggest bottleneck affecting EVs is the "battery", which also gives rise to different forms of EVs, currently divided into three main types, namely pure electric vehicles (BEV), hybrid vehicles (HV), and fuel cell electric vehicles (FCEV).

According to TrendForce, the global sales volume of new energy vehicles (NEV; including pure electric vehicles, plug-in hybrid electric vehicles, and hydrogen fuel cell vehicles) will be about 10.65 million units in 2022, an annual increase of 63.6%. Of these, 7.89 million were pure electric vehicles (BEVs), up 68.7% annually, and 2.74 million were plug-in hybrid electric vehicles (PHEVs), up 50.8%. China and Western Europe are still the two major markets, but the difference in market share has widened again, with China accounting for 63% of the market and Western Europe for 29%.

In 2023, the auto production process is gradually improving, the impact of the epidemic has also gradually receded, and consumer demand for travel, work and other outings is rising, which is beneficial to auto sales. However, global inflation, rising interest rates and corporate layoffs are not conducive to consumer confidence. At present, the auto market is mixed, but new energy vehicles will continue to rise, with sales estimated to reach 14.51 million units in 2023, an annual increase of 36.2%.

Electric vehicles are very different from fuel vehicles in terms of structure, and a large number of electronic components are used, which has also become the development of the semiconductor industry.

Take pure electric vehicle as an example, at present, it is mainly divided into five major systems, namely motor power system, vehicle electric system, charging system, battery system and body system, and because of the electric vehicle due to the reduction of components, no complex engine technology, but also let the whole supply chain more flat, conducive to the development of parts and components.

In terms of cost composition, the battery accounts for about 40%, chassis 15%, interior 16%, automotive electronics 10%, motor 8%, electric control 6%, body 5%, compared to the current battery accounts for a very high cost. Therefore, the market often mentions that "the one who has the battery has the world", and therefore the relevant battery supply chain often becomes the focus of the market.