Energy storage converters can be divided into four categories based on different application scenarios: household, industrial and commercial, centralized, and energy storage power plants, corresponding to small, medium, large, and rated output power.

The energy storage converter determines the quality and characteristics of the output electricity, which greatly affects the lifespan of the battery. PCS is an important component in the energy storage system, consisting of software and hardware such as power, control, protection, and monitoring. Its main functions include power suppression, information exchange, integration of charging and discharging with BMS system, and parallel/offline operation. The energy storage industry chain can be divided into upstream raw materials and equipment, midstream energy storage systems and integration, and downstream power system energy storage applications. The raw materials upstream of the energy storage industry chain mainly include positive electrode materials, negative electrode materials, electrolytes, diaphragms, and structural components; Representative enterprises: Shanshan Co., Ltd., Rongbai Technology, Dangsheng Technology, Zhongke Electric, etc. The middle reaches of the industrial chain mainly involve the integration and manufacturing of energy storage systems, which generally include four major components: battery packs, battery management systems (BMS), energy management systems (EMS), and energy storage converters (PCS).

Representative enterprises include Ningde Times, Sunshine Power, Nandu Power, Keshida, etc. Among them, companies such as Ningde Times, BYD, Sunshine Power, etc. export more overseas. The downstream of the industrial chain mainly includes engineering EPC, grid connection testing, and post operation and maintenance: representative enterprises include Nanwang Technology, Baoguang Co., Ltd., Electric Power Research Institute, Linyang Energy, etc. Against the backdrop of clean, low-carbon, and intelligent energy transformation, a high proportion of renewable energy has become the "main force" for the future development of the power system. The structural form of the power system is undergoing changes. Energy storage will become the "standard configuration" for maintaining the stability of the entire power system.

At present, the energy storage industry is accelerating its transition from demonstration pilot stage to commercialization stage, with a thriving market and continuously accelerating the investment and construction of new production capacity.