CATL: Electric vehicle subsidy policies favor mid-to-high-end models, which will be more beneficial for the company's dominance in the mid-to-high-end market segment in the future.

There are investors who asked on the interaction platform: Recently, prices of raw materials such as lithium carbonate have surged significantly, and the government has also canceled or reduced subsidies for electric vehicles and battery export tax rebates. May I ask whether the company has conducted analyses of the business impact of these unfavorable factors? CATL’s response said that the company has a well-developed upstream resource layout. Through multiple approaches, it ensures the stability of the supply chain and achieves a cost advantage compared with its peers. At the same time, as the company’s sodium-ion batteries and other products are gradually rolled out, it will also, to a certain extent, reduce reliance on resources such as lithium. In addition, the electric vehicle subsidy policy is tilted toward mid-to-high-end models. In the future, this will be more favorable for the company to capture leading performance in mid-to-high-end models in the market. Moreover, changes in export policy tax rebates are favorable for the long-term high-quality development of the industry, and also favorable for leading companies that have product technology and a globalized layout advantage to make high-quality overseas expansion. (People’s Finance)