New energy vehicles, photovoltaics, and film capacitors have great market potential

    Thin film capacitors have unique application advantages in many power electronics fields. Film capacitors have the characteristics of high voltage, high capacitance, and long service life, and the structural design of the film ensures that the capacitor has good self-healing properties. In the DC support scenario, film capacitors play as important a role as IGBT modules. Benefiting from this, film capacitors are widely used in various frequency conversion and AC-DC conversion scenarios, such as electric drives, OBCs, charging piles of electric vehicles, as well as inverters and converters of photovoltaic and wind power.

    The compound growth rate from 2021 to 2025 is 13.3%, with new energy vehicles, photovoltaics, and wind power being the main driving forces. We estimate that the average value of film capacitors used in new energy vehicles is more than 400 yuan per vehicle. The value of film capacitors used in photovoltaics and wind power is also very high, about 6,000 yuan/MW and 5,000 yuan/MW respectively. Benefiting from the growth of the above-mentioned markets, we estimate that the market size of film capacitors will reach 24 billion yuan by 2025, with a compound growth rate of 13.3% from 2021 to 2025. Among them, the total demand brought by the new energy vehicle, photovoltaic, and wind power markets in 2025 will exceed half of the overall demand for film capacitors, which will be 9.2 billion yuan, 1.85 billion yuan, and 920 million yuan respectively. The compound growth rates from 2021 to 2025 will be 33.9 respectively. %, 12.1%, 8.23%.

    Driven by the localization of the industrial chain, domestic manufacturers are expected to fully benefit. New energy vehicles, photovoltaics, and wind power are important driving forces in the film capacitor industry. China has an important industry position in the world, both on the demand side and on the supply side. Domestic players now have very strong competitiveness. With the increasing demand from downstream customers for the localization of the industrial chain, the market share of domestic manufacturers is expected to further grow in the future. In addition, the demand for thin film capacitors has increased, and the demand for polypropylene base films has also increased. Currently, base films are in short supply. Some domestic base film companies already have the ability to supply base films below 3μm for new energy vehicles. Under the current boom, domestic base film companies are also facing development opportunities.