Hong Kong stocks concept tracking | Energy storage industry against internalization! Lithium iron phosphate battery industry chain is expected to benefit fully (with concept stocks)

On April 9th, the Ministry of Industry and Information Technology, the National Development and Reform Commission, the State Administration for Market Regulation, and the National Energy Administration jointly held a symposium with enterprises in the power and energy storage battery industry to deploy work related to regulating industrial competition order. The meeting emphasized the importance and urgency of governing "internalized" competition, resolutely resisting unreasonable and unfair competitive behaviors, and maintaining a healthy and orderly market environment. The meeting also discussed a list of negative behaviors related to irrational competition in the power and energy storage battery industry. It is reported that in the past two years, the energy storage industry has been involved in a price war. System quotations have been halved from over 1 yuan per watt-hour to around 0.5 yuan. Driven by the "mandatory storage" policy, a large number of companies entered the market, with price becoming the only competitive weapon. In the first half of 2025, the average gross profit margin of the energy storage industry dropped from 28% in 2022 to 16.3%, showing a paradox of "more quantity, less profit". The net profit margin of leading companies has generally dropped below 3%, with some companies barely maintaining on subsidies, resulting in an abnormal state of "more installed capacity, more losses". With the end of the "Document 136" era of mandatory storage, the industry has shifted from being "policy-driven" to "market-driven." By mid-2025, the price of battery-grade lithium carbonate hit a bottom of around 60,000 yuan per ton, and then surged to a high of 130,000 yuan per ton by the end of 2025. Since the beginning of this year, the price of battery-grade lithium carbonate has fluctuated around 150,000 yuan per ton, rising to nearly 170,000 yuan per ton by the end of March, an increase of over 160% from the low point in 2025. In January 2026, the Ministry of Finance and the State Taxation Administration announced that from April 1, 2026 to December 31, 2026, the value-added tax export rebate rate for battery products would be reduced from 9% to 6%, and would be fully canceled from January 1, 2027. The gradual increase in raw material prices combined with the gradual cancellation of export rebates has significantly raised costs along the energy storage industry chain. The V-shaped reverse in raw material prices has forced companies to reexamine their pricing strategies. In 2026, an increasing number of energy storage contracts are no longer signed at "fixed prices", but instead introduce formula pricing based on lithium prices. When the fluctuation of lithium carbonate exceeds a certain percentage, the system sale price will automatically adjust, protecting integrators and allowing downstream customers to understand and accept it. Many industry insiders believe that as the domestic power market construction becomes more perfected, the national "anti-internal circulation" strict regulatory policies are implemented, combined with the industry focusing on the full lifecycle value of products and actively exploring overseas high-value markets, the energy storage industry is at a key point of reshaping order, and it is expected that the industry's profitability environment will significantly improve in the second half of the year. Minsheng Securities believes that in 2025, the global demand for power batteries grew rapidly, with the growth rate expected to slow down in 2026, while the demand for energy storage batteries is expected to continue to grow, becoming an important driver of battery demand growth. Lithium iron phosphate is the mainstream system for energy storage batteries, and companies related to the lithium iron phosphate battery industry chain are expected to benefit fully in the future. Industrial indicates that under the resonating multiple favorable factors, the overall prosperity of the energy storage sector continues to improve. 1) The implementation of the energy storage capacity electricity price policy will accelerate growth in 2026 by leveraging the triple dividends of policy, necessity, and economy. 2) The continuous tension in the Middle East geopolitical situation has caused disturbances in the global energy supply side, intensified fluctuations in European natural gas prices, and rapid increase in regional energy independence demands, which is expected to reproduce a high-impact market situation for European energy storage. 3) As many countries globally introduce policies to support residential energy storage, and commercial and industrial energy storage are in the stage of volume accumulation, the high prosperity of household + commercial and industrial energy storage is expected to run throughout the year of 2026. 4) As an important component of the future energy system, energy storage is becoming a key support to ensure the stable operation of AI data centers. Some related stocks: Contemporary Amperex Technology (03750): Contemporary Amperex Technology focuses on the development, production, and sales of power batteries and energy storage battery systems. Its market share in power and energy storage batteries has been stably ranked first globally for several years, with total revenue of 423.02 billion yuan in 2025, a year-on-year increase of 17%; net profit was 72.2 billion yuan, an increase of 42%. Ganfeng Lithium Group (01772): In 2025, the company's operating income was approximately 23.082 billion yuan, a year-on-year increase of 22.08%; the net profit attributable to shareholders of the listed company was approximately 1.613 billion yuan, turning from loss to profit year-on-year; basic earnings per share were 0.8 yuan, with a proposed cash dividend of 1.5 yuan per 10 shares (tax included). Tianqi Lithium Corporation (09696): In 2025, the company achieved revenue of 10.322 billion yuan, a year-on-year decrease of 20.78%; the net profit attributable to equity shareholders of the company was 458 million yuan, turning from loss to profit year-on-year; earnings per share were 0.28 yuan.