How to Select a Lithium-ion Battery Supplier: 8 Questions to Ask OEM

The lithium-ion battery market is in a state of flux. Lithium-ion is a relatively new technology that has taken off in the last five to 10 years and demand for these batteries is high and growing. This has attracted many OEMs and created something of a buyer-beware market for OEM.

Many critical factors must be considered when deciding on a forklift battery supplier. Choosing the wrong lithium-ion battery for a forklift can impact the entire operation of an OEM’s business, from procurement to production. An OEM’s day-to-day operations depend on forklift transportation, and a forklift’s day-to-day operations rely heavily on the battery. Choosing a lithium-ion forklift battery supplier is the first step in determining the success of an OEM’s daily processes. OEMs need suppliers who can meet JIT shipping demands, lead technical innovation, and provide extended technical service. Without that, you may end up with a lithium-ion supplier instead of a lithium-ion partner who will be with you for the long run. That can lead to dissatisfied customers and lost time and money.

Ask the manufacturers these questions:

1. To get an idea of how established the company is ask how long they have been in business, how long they have been serving the material handling industry, and whether they have supplied batteries to major OEMs. You could also ask if they offer a full portfolio of batteries including flooded lead-acid, AGM, and lithium-ion. You may want to move on if the manufacturer is a start-up, has been serving the material handling industry for just a few years, or has not supplied batteries to OEMs.

Older, more seasoned companies that understand the material handling industry and manufacture and sell a full line of forklift lithium battery products generally know the issues that can damage batteries and shorten their lifespans. They often engineer solutions to these problems into their products.

2. How long have you been working with lithium-ion technology? Again, the company probably has a lot to learn if the answer is just a few years.

3. What kind of customer support do you provide? Make sure the company has a U.S-based and Europe customer support line staffed by real people who can answer questions and help your technicians troubleshoot issues. Ask if support is available 24/7 and if the staff includes representatives dedicated to lithium-ion products. Many newcomers to the market simply don’t have the infrastructure to provide that level of service.

4. How do you support the dealers who carry your products? You don’t want to work with a supplier who sells products and then forgets about you. To avoid phone tag and long hold times, look for a manufacturer with a systematic approach to communicating with dealers. Ask if the manufacturer has an authorized dealer network through which it trains dealers to sell its products and provides them with the information and materials they need.

5. How do you sell your batteries? Many battery manufacturers sell directly to dealerships and are unable to provide the follow-up services dealers may need. Look for a supplier who sells their batteries through a network of trained distributors. These distributors generally know and stand by their products, adding value to your purchase.

6. How is your battery different from others in terms of design and engineering? Look for products with UL2580 certification and at least an IP67 rating. This helps protect the battery from damage from vibration, water and dust and can extend its life. Make sure the battery is embedded and modular expandable.

Ask how the battery is designed to move the damaging heat it generates away from the cells. Most manufacturers do this through inexpensive components called heat sinks because they are easy to make and add on.

But heat sinks should not be the only method of heat management. Well-made batteries reduce the heat generated and allow for natural cooling in the design. This requires more engineering expertise, but it boosts efficiency, improves safety, and prolongs battery life.

7. What range does your battery get? To help OEMs, one of China’s fasctory has developed 43 standard modules for lithium batteries of different capacities, which can form parallel building blocks in forklift battery compartments. Up to 20 of these modules can be stacked in parallel, and the total capacity can be tailored to forklift OEM needs. It’s also worth mentioning that OEMs must check usable capacity, not advertised capacity. The stated capacity may be based on the sum of the individual cells within the battery, which does not take into account internal losses like usable capacity. Real-world test data and customer testimonials are the best way to understand the usable range of a battery. This is especially important in the high-capacity, high-current and relatively low voltage batteries used in MHE.

8. What safety features are built into your battery? Look for a battery with lithium-iron-phosphate cells, one of the most stable lithium-ion battery chemistries. Make sure the BMS features several levels of safety redundancy. That way, if one level fails another will step in, catch the issue, and turn the battery off, protecting you and your property. Ask about UL certifications. Is the entire pack UL-certified or does the manufacturer rely solely on the cell provider’s UL listing?

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WebCargo, China Southern Air Logistics becomes First Chinese Carrier to Offer China Import eBookings

China Southern Air Logistics unlocks instant Chinese import bookings for freight forwarders worldwide. Carriers on WebCargo now account for over 50% of air cargo capacity, with connections to over 10,000 forwarding offices on platform.

China Southern Air Logistics, the cargo arm of China Southern Airlines, is partnering with WebCargo, the leading digital booking and payments platform, to offer forwarders real-time rates, capacity, and eBookings. Shipments originating in China represent one of the largest segments of global air cargo trade, accounting for 7.3 million metric tons of a global 65.7 million metric tons1. Forwarders around the world, including the 3,500 freight forwarders in over 10,000 offices that already use WebCargo, will gain direct access to China Southern’s leading coverage into this key region.

These forwarders will also benefit from WebCargo’s combination of real-time booking with digital payments, helping forwarders quickly begin booking and reconciling payments with China Southern Air Logistics, as well as other carriers.

About China Southern Air Logistics 

Being the cargo arm of China Southern Airlines, China Southern Air Logistics undertakes all cargo business from the parent company.

Currently, China Southern Air Logistics operates 14 B777 freighters with more than 60 flights per week, flying from Guangzhou, Shanghai, Shenzhen, and Chongqing to Amsterdam, London, Frankfurt, Los Angeles, and Chicago. Expanding its freighter fleet in the near future, the company plans to launch more international freighter routes from China to major cities in the world.

Ranking among top 5 in terms of aircraft fleet in the world, China Southern’s well-developed belly network has enabled China Southern Air Logistics to provide extensive belly capacity covering China, radiating throughout Asia, linking Europe, America, Oceania, and Africa. With more than 880 aircraft and 1000 plus flight routes, the Air Logistics company can carry cargo and mail to over 170 destinations around the globe.

China Southern Air Logistics’ product portfolio includes CZ-Speed for express cargo, CZ-Special for specialized service, CZ-Exclusive for customized solutions, CZ-Transfer for diversified transfer options, and CZ-standard for general cargo. Its dedicated cargo team is always ready to offer quality service to meet customer needs.

About WebCargo, a Freightos Group Company 

WebCargo is the most advanced digitization platform for logistics service providers.

WebCargo Air is the leading platform for live air cargo rate distribution and bookings between hundreds of airlines and 3,500+ forwarders across over 10,000 forwarding offices. Partners using fully digital eBooking and rate distribution on WebCargo include over 30 airlines, including American Airlines, Turkish Airlines, Lufthansa, Etihad Cargo, Air France KLM, IAG Cargo, SAS, Qatar Airways, El Al, and Emirates SkyCargo. Freight forwarders can access dynamic capacity, pricing, and eBooking by signing up for free at webcargo.co.

WebCargo joined the Freightos Group in 2016. The Freightos Group also operates freightos.com, the world’s largest digital freight platform for the trillion-dollar international shipping industry, and the Freightos Baltic Index, the only daily container index, in collaboration with the Baltic Exchange.

Founded by serial entrepreneur Zvi Schreiber, Freightos is a logistics technology pioneer with a worldwide presence, and has raised over $120 million from leading venture funds, including GE Ventures, Aleph and the Singapore Exchange. In June 2022, Freightos announced that it would merge with GESHER I (Nasdaq: GIAC) with the intent of going public on the Nasdaq (FROS).

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Chinese OEMs expand abroad with in-house brands, high-quality products

logistics transportation efficiency

Known as the “world’s factory,” China has played an indispensable role in the global industry chain with a large number of original equipment manufacturers (OEMs) covering various segments, as their high-quality products fulfill global demand.

However, domestic OEMs in the past have usually generated profits by just manufacturing and processing products behind the scenes.

Following the advent of the e-commerce era, a more accessible global network and enhanced government support, many Chinese OEMs now are beginning to look beyond the OEM business itself to step into the global market with their own in-house brands.

A survey in 2021 showed that 93 percent of Chinese sellers have clearly recognized the significance of establishing a brand while the number of Chinese sellers who have completed brand registration on Amazon’s global site has increased 40-fold over the past four years, while 14 percent of Chinese brands on Amazon already have registered trademarks in more than five countries or regions, media outlet yicai.com reported, citing Yang Jun, vice president of Amazon China.

While more and more OEMs have been aiming to establish their own brands and go abroad, industry insiders have shared their stories of transformation with the Global Times.

An ‘ambitious’ step
The majority of the profits generated by sales used to flow to foreign clients who hold the trademarks, Cai Jun, also known as Richard Cai, vice president of international business of Beijing Puppy Vacuum Cleaner Group Co (Puppy) told the Global Times on Tuesday.

Cai said that the company completely cut off its OEM segment in 2021 and has been fully concentrating on developing and promoting its own vacuum brand in overseas markets.

Puppy has been in the vacuum manufacturing industry for 23 years dedicated to operating its OEM business, and their products have been sold in 86 countries and regions, said the company’s official website.

Puppy is a representative of many domestic OEMs which have been going through an important transformation phase, aiming to explore the international markets under brands tagged with their own names.

Lan Runqiong, vice president and CEO assistant of Cifnews (Xiamen) Cross-border e-commerce Co, an internet platform helping bring Chinese brands to the world, said the trend toward transformation became very clear from 2020 onwards following some leading companies’ successful launches and operation overseas.

Lan added that operating a new brand overseas has become a mainstream of cross-border e-commerce for Chinese companies.

Cai echoed the trend, adding that more Chinese brands and Made-in-China products will be able to enter the international market following China’s continuous economic achievement and development under government support.

Meanwhile, Cai also noted that Chinese brands now are increasingly favored by overseas consumers after the successful landing of some leading Chinese enterprises such as Huawei and Xiaomi, which have gained high recognition and will drive more high-quality domestic brands and products to follow the path.

Lan added that the company has assisted more than 80 Chinese companies go abroad, including some brands have previously focused on OEM or original design manufacturer with strong research and production capacity.

Cifnews links various e-commerce platforms from global countries and regions with suitable Chinese enterprises through market analysis.

Lan also said that traditional Chinese trade companies and factories previously have already established a cognitive sense for foreign products.

Through the continuous improvement of production, research and development (R&D), coupled with the upgrading of China’s intelligent manufacturing and R&D capabilities, China’s product power has been continuously improving, Lan added.

Therefore, more Chinese brands will have opportunities to become well-known internationally.

Opportunities and challenges
For OEMs going through or seeking to explore the transformation, the market potential is clearly huge with favored business environment and support, while challenges still remain for them to work out for the long-term development.

Lan stressed that enterprises firstly need strong determination and enough preparation with high-quality products for the transformation, which will take a while.

Lan also noted that the current global market is more demanding on the supply chains, which will offer a greater chance for Chinese enterprises to succeed overseas.

For Chinese OEMs seeking to make this pivot, Cai and Lan noted that it was important to meet certain criteria and conditions.

For instance, enterprises have to start off having a certain product or category which have a relatively large international market demand, according to Cai.

He added that the transformation will require procedures like registering for corresponding trademarks as well as obtaining relevant certification from targeted countries or regions on top of meeting other necessary requirement, such as meeting local environment standards.

Along the journey, Lan stressed the importance of improved market sensitivity and foresight.

Both Cai and Lan emphasized the necessity of having a well established and managed team in order to support enterprises, such as a strong capacity for supply chain management.

As for the impact of the COVID-19 pandemic, Cai said that the shipping cost and some countries increasing tariffs have affected the business operation, which is now gradually returning back to normal.

Lan added that the impact of the pandemic on the industry chain is becoming less acute, and China has already established a long-standing industrial advantage.

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