Walton and Pran-RFL Group are going into lithium-ion battery production

As the use of electric vehicles and renewable energy in the country is increasing, the demand for lithium-ion batteries is increasing. And two big industrial groups of the country - Walton and Pran - RFL have invested to capture this market. Walton is going into lithium-ion battery cell production next month. And in November, Pran-RFL Group will import lithium-ion cells and produce battery packs in its own factory.

Walton Group's Walton Hitech Industries has set up a lithium-ion battery cell manufacturing plant at Chandra, Gazipur. This factory will produce 1 crore battery cells per year. These batteries will be used in products such as motorcycles, toys, rechargeable lights, rechargeable fans, digital scales, etc. The company has invested 113 crore rupees in this project so far.

PRAN-RFL Group has set up a lithium-ion battery pack manufacturing plant at its industrial park in Habiganj. 60,000 battery packs will be produced there annually. The company has already invested 25 crore rupees for this.

Currently, the annual market of all types of batteries across the country is around 15 thousand crore rupees. Of this, there is a lithium-ion battery market worth Rs 2,000 to 2,500 crore. That means lead-acid batteries still dominate the battery market. However, the lead-acid batteries will gradually take the place of lithium-ion batteries, said companies investing in this sector.

Talking to the concerned people, it is known that the demand for battery-powered rickshaws, electric bikes and energy storage in homes, businesses and industries is increasing rapidly in the country. Currently there are approximately one and a half lakh battery operated rickshaws. The annual market value of batteries used in this sector is Tk 1,600 crore to Tk 1,800 crore. On the other hand, 12,000 to 16,000 electric two-wheelers or electric bikes are sold annually. The annual market value of batteries used in these electric bikes is 675 to 900 crores. Apart from this, the annual market value of batteries used for electricity storage is Tk 900 crore. At present, interested companies are investing targeting these three sectors.

• The annual market of all types of batteries across the country is around 15 thousand crore rupees.
• Lead-acid batteries currently hold the majority of the battery market.
• The current market of lithium-ion batteries is 2 to 2.5 thousand crore rupees.

Walton will make battery cells

Walton officials said that Walton will soon produce large-scale prismatic lithium and sodium battery cells for battery-powered autorickshaws and solar power storage. 400-500 crore additional investment will be made in this.

Mahfuzur Rahman, chief business officer (CBO) of Walton Hitech Industries' lithium-ion battery project, told Prothom Alo that the commissioning of the equipment installed for the production of lithium-ion battery cells has been completed. Trial production will begin this month or next. Besides, lithium and sodium battery pack line will be launched within three-four months.

Mahfuzur Rahman also said, "From this line, we will go into the production of large-scale batteries for easy bikes and mixers, telecom batteries, IPS and UPS, solar storage, private cars, electric bikes, fork lifts, etc."

Battery pack will make life - RFL

The country's leading industrial group is going to manufacture lithium-ion battery packs with imported cells at Pran-RFL industrial park in Habiganj next month. Initially they will import lithium cells and some specialized electronic and other components from abroad. As a result, the local value addition in lithium-ion battery pack production will be around 20 percent. However, several senior officials of the group informed about the plan to increase the value addition to 70-80 percent by expanding its own production facilities in the future.

According to Pran-RFL Group, they will initially manufacture various types of lithium-ion batteries for easybikes, mixers and e-bikes. The group will market these batteries under its own brand Blaze.

When asked, Kazi Rashedul Islam, Deputy General Manager of RFL Battery and Cables Project, said, "In the future, we have plans to produce batteries for solar power storage systems, IPS, UPS, backup power systems for the telecommunication sector, and power storage for industrial plants." For this, he informed about the plan to invest another 100 crore rupees in the expansion of the lithium-ion battery production factory next year.

It is known that 300 people are being employed in the lithium-ion battery production factory of Pran-RFL Group. 500 more job opportunities will be created next year. While initially producing lithium-ion batteries for the domestic market, they have plans to export lithium iron phosphate or LFP technology batteries in the future.

In this regard, RFL Group Managing Director (MD) RN Pal said, the demand for lithium-ion batteries in the country was being met mainly through imports for so long. Especially batteries and necessary parts are imported from China. Import of manufactured batteries will decrease if local production starts. This will save a huge amount of foreign exchange.

What are the advantages of lithium-ion batteries?

Lithium-ion batteries are lighter and more durable than conventional lead-acid batteries. Even lithium-ion batteries charge in about a third of the time compared to lead-acid batteries. Hence it is power-efficient. However, lithium-ion batteries cost about twice as much as conventional lead-acid batteries.

According to sources related to the sector, currently four-five lead-acid batteries are used in battery-powered three-wheeled rickshaws on the road. It costs 50-60 thousand rupees depending on the company. The total weight of these batteries is 160 kg. It takes 10-12 hours to charge this rickshaw. The rickshaw runs 100-120 km on a single full charge. However, after six-seven months, the performance of the battery starts to decrease. A lithium-ion battery is sufficient in the same rickshaw. Although the price will be 90 thousand to 1 lakh 20 thousand taka. That battery will weigh 35-40 kg. It will take two and a half to three hours to charge this battery. Once fully charged the rickshaw will run 120-150 km. Battery performance will remain the same for two and a half to three years.

A senior company official, speaking on condition of anonymity, said the total tariff on imported lithium-ion batteries is 64 percent. That's why lithium-ion batteries cost more. However, the duty and tax on battery pack production in the country is 28 percent. Again, there are duties and tax exemptions for battery cells produced in the country. As a result, the price of lithium-ion batteries will decrease in the future if they are manufactured in the country.