Overview

01 Industry

01 INDUSTRY | Overview

Overview

2023 marked a year of continued growth and calibration of the global battery industry - passenger EV sales topped 10M for the first time, representing 32% year-on-year growth in spite of higher interest rates. The average price paid for a new EV has declined by 25% over the past year, thanks in part to an EV "price war" as manufacturers compete for market share, bringing the average price paid for a new EV to just 4% higher than the overall new car market average. The cost of lithium has dropped 80% since its peak in late 2022, causing consternation for mining companies, but also contributed to lowering battery cell-level prices by 16% to $107/kWh. Major trends include a dramatic acceptance by nearly all major OEMs of the NACS charging standard. Cell formats trending towards large-format prismatic cells influenced by continuing LFP adoption. 7 TWh of battery manufacturing capacity has been planned globally before 2030, with China accounting for 68.5% of this capacity, and the majority of the North American and European capacity being focused on NMC chemistries. In terms of regulations, US and EU governments have outlined official guidance over the past year to ensure greater security in the sourcing of critical minerals and developing a domestic battery supply chain. BESS is a nascent yet rapidly growing market, opportunities and challenges remain for financing, integration, regulations, and battery chemistries to be developed to better support the growth of this segment. Advanced cell chemistries continue to make progress towards commercialization, prime examples include LMFP, Na-ion, Sulfur, and Li-metal chemistries, while innovations in mining, supply chain, manufacturing, software, and other enabling technologies continue to be the focus for commercial R&D and entrepreneurial energy in the space.

Notable Events

Industry Value Chain

Finance

Cell Costs

Cell & Pack Manufacturing

Applications

Safety

Chemistry & Cell Components

Raw Materials

Recycling

Software & Analytics

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