After several years of explosive growth, the energy storage industry is facing the risk of structural overcapacity. Tian Qingjun, senior vice president of Envision Technology Group, recently said at the 2026 World Power Battery Conference that the planned expansion of energy storage cell production this year has exceeded 800 GWh. By the end of the year, the production capacity will be about 1.2 TWh-1.5 TWh, and the total planned production capacity has exceeded 2 TWh, which has greatly exceeded the actual demand of the global market. According to Tian Qingjun's analysis, cell manufacturing is similar to photovoltaic modules. Production lines are expensive to start and stop, and have the rigidity of continuous production. Once there is excess capacity, companies will most likely repeat the mistakes of the photovoltaic industry and fall into a “price war” in order to maintain cash flow and market share. Over the past few years, the PV industry's price inflow has sounded a wake-up call for the energy storage industry, and the industry should not follow suit. China exports a large number of energy storage systems and energy storage cells. If it falls into a disorderly “price war,” it will ultimately damage the country's overall interests and the international image of the industry.

After several years of explosive growth, the energy storage industry is facing the risk of structural overcapacity. Tian Qingjun, senior vice president of Envision Technology Group, recently said at the 2026 World Power Battery Conference that the planned expansion of energy storage cell production this year has exceeded 800 GWh. By the end of the year, the production capacity will be about 1.2 TWh-1.5 TWh, and the total planned production capacity has exceeded 2 TWh, which has greatly exceeded the actual demand of the global market. According to Tian Qingjun's analysis, cell manufacturing is similar to photovoltaic modules. Production lines are expensive to start and stop, and have the rigidity of continuous production. Once there is excess capacity, companies will most likely repeat the mistakes of the photovoltaic industry and fall into a “price war” in order to maintain cash flow and market share. Over the past few years, the PV industry's price inflow has sounded a wake-up call for the energy storage industry, and the industry should not follow suit. China exports a large number of energy storage systems and energy storage cells. If it falls into a disorderly “price war,” it will ultimately damage the country's overall interests and the international image of the industry.