Asian Manufacturers Will Lead the $8 Billion Market for Electric Vehicle Batteries

[kristopher]

Asian Manufacturers Will Lead the $8 Billion Market for Electric Vehicle Batteries
June 1, 2010

The next five years will see rapid advances in advanced battery technology, as dozens of manufacturers position themselves to meet the anticipated demands of newly electrified vehicles being launched by nearly every major global automotive company. Despite the support of the federal government, U.S. battery companies have struggled to gain market share while the Asian market for vehicle batteries has taken off. Asian manufacturers, which have traditionally dominated the global market for lithium ion (Li-ion) batteries in various electronics categories, will continue to lead in both Li-ion production and consumption as the global market for electrified vehicles grows rapidly over the next several years, according to a recent report from Pike Research.

“The Obama administration is making a concerted effort to prevent the failure of the U.S. auto industry, and that will bolster development of U.S. battery industry through 2012,” says senior analyst John Gartner. “But political shifts and market realities could remove that safety net.”

Pike Research anticipates that improved manufacturing efficiencies and expanded access to lithium will halve the installed cost of Li-ion vehicle batteries between 2010 and 2015, to $470 per kWh (kilowatt hour). The Li-ion transportation battery industry will grow more than eight-fold in the next five years, the cleantech market intelligence firm forecasts, with nearly $8 billion in sales worldwide by 2015, up from $878 million in 2010. Total electrified vehicle sales in the Asia Pacific region will reach almost 1.1 million in 2015, more than the U.S. and Western Europe combined. And the Asian Li-ion battery market will surpass $4 billion, representing 53% of total worldwide sales, in the same timeframe.

Even though vehicles powered at least part-time by battery power only will make up less than 2.5% of the world’s fleet in 2015, Pike Research believes that the development of safe, reliable, and less costly Li-ion batteries will slowly reshape the automotive industry as it moves towards electrification and away from fossil fuels....

http://www.pikeresearch.com/newsroom/asian-manufacturers-will-lead-the-8-billion-market-for-electric-vehicle-batteries

This article, while a bit dated, corrects some misinformation that has been floating around EE lately.

[madokie]

1. Thanks for the post.

My wife and I hope to buy an EV here in a year or two before she retires. We plan to keep our present vehicles for those times when an EV just won't get it. A forty mile range per charge would work for us. Most weeks that would be a whole weeks worth of driving. If we drove much more the savings would pay for an ev in just a few years. By the time that a typical loan is paid off.