Recently, the news that BYD asked suppliers to reduce prices attracted widespread attention.

According to an email with the theme of "cost reduction requirements for BYD passenger cars in 2025, BYD requires the products supplied by relevant suppliers to be reduced by 10% from January 1, 2025.

In fact, BYD is not the only one that requires suppliers to reduce prices. SAIC Chase, Toyota, Geely, Changan, ideal, BMW and other car companies have all been exposed to the same behavior.

The requirements of downstream car companies are essentially the transfer of "price war" pressure.

In fact, the upstream battery factory has already felt this situation. Under the background of "price war", car companies may disperse the pressure by delaying the payment to upstream suppliers, this also resulted in a new historical length of the entire account cycle of upstream suppliers in 2024.

According to the financial report, this year, enterprises such as Ningde era, China innovation airlines, and Yi weilieng the total amount of accounts receivable and bills are increasing. Especially in Ningde era, its accounts receivable in the third quarter increased by 95.38 percent year-on-year.

For battery companies, meaning the pressure of repayment and short-term debt repayment are increasing.

Fu Neng technology said directly at the previous performance statement meeting: the price fluctuation pressure of the vehicle factory is high, and the price of the battery factory is also under pressure. Fu Neng technology also said that if the price war of car companies is further intensified, the cost drop of the company will not be as expected, which will bring the risk of the company's top-line and bottom-line decline.

In order to seek "self-help", battery enterprises have to work hard on the cost.

For example, the "lithium mine rebate" plan in Ningde era aims to bind long-term orders and consolidate the market position in Ningde era. Fredy battery we also urge the team to continue to reduce costs through internal notifications and strengthen the management and control of non-productive materials to reduce costs and increase efficiency.

At the same time, strengthening the brand effect is also a way to consolidate the market.

In recent years, Ningde era is promoting its brand image through Joint Publishing, setting up joint ventures and expanding offline stores. The marketing strategy of "to C" not only helps to improve brand awareness, it also helps enterprises increase brand premium.

At present, the price itself is indeed determined by the laws of the market economy, and the industrial chain is also forced to adapt to this situation. OnlyIt should be noted that, once the price competition is out of order, everyone will become a loser.