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There is no complete substitution relationship between primary battery and secondary battery, and primary battery has an advantage in the use of low-power electrical appliances. Chemical batteries can be divided into primary batteries and secondary batteries according to the nature of use. Primary batteries, also known as "primary batteries", lose their effectiveness after the active substances in the batteries are consumed, such as alkaline zinc-manganese batteries, carbon zinc-manganese batteries and primary lithium battery. Secondary batteries, also known as "batteries", can be used repeatedly by charging after the power is exhausted. There are commonly nickel-hydrogen batteries, lithium-ion batteries, lead-acid batteries, nickel-cadmium batteries and so on. Although the application fields of primary batteries and secondary batteries overlap to some extent, there are still clear boundaries in the main use scenarios, and there is no complete substitution relationship. In recent years, the trend of household consumer appliances has gradually developed towards small and medium power consumption, and primary batteries still dominate in these scenarios.TF Securities-I Solid-state Dry Battery Industry 24w48 Zhou Du Research: Alkaline manganese gradually replaces carbon manganese, and downstream demand drives moderate growth of the industry-241211

The competition pattern of zinc-manganese battery is mature and stable,It is a leading enterprise in this field in China. From a global perspective, the zinc-manganese battery market is mainly occupied by international company brands and domestic excellent battery enterprises. In the domestic market, Nanfu battery mainly occupies a leading position with its own brand, and its "Nanfu" brand alkaline manganese battery products have been ranked first in the China market for 31 consecutive years (1993 -2023), and its sales share in the retail market of alkaline No.5 and No.7 batteries in China is 85.9% (Nielsen data).Risk warning: the prosperity of the real estate market has declined; Risk of exchange rate fluctuation; Risk of raw material price fluctuation; Sales of new products fell short of expectations.

Target recommendation: 1) Home appliances: such as [Gree Electric]/[Midea Group]/[Haier Zhijia]/[Hisense Household Appliances]; 2) Small household appliances: such as [Cobos]/[Jimi Technology]/[Xiaoxiong Electric Appliances]; 3) Kitchen appliances: such as [Vantage Shares]/[Boss Electric Appliances]; 4) Black electricity: such as [TCL Electronics]/[Hisense Video]Risk warning: the prosperity of the real estate market has declined; Risk of exchange rate fluctuation; Risk of raw material price fluctuation; Sales of new products fell short of expectations.