Part 7/12:

This breakdown throughout the industry chain is driving the industry into a severe deflationary spiral. The crash in upstream raw material prices forces suppliers to cut production to reduce losses, while overcapacity in the midstream sector worsens company losses. Shrinking downstream demand leads to a steady drop in orders, and export barriers add further strain, leading to a vicious cycle that's difficult to break.

Even industry giants like CATL have seen revenue decline for three consecutive quarters, with a 35% year-over-year drop in net profit in the third quarter of this year. Smaller companies are facing even greater challenges, with some declaring bankruptcy and leaving behind debts and abandoned projects.

Global Shifts and Restructuring