Lithium-Ion Batteries (Global Market)

Main article: Lithium-ion batteries (Li-ion)

2022: US Senate admits US lag behind China in battery production by 20 years

In early November 2023, two influential senators said that the United States was 10-20 years behind China in the development and production of batteries. It is noted that in 2022 the United States produced less than 10% of lithium-ion batteries, while the PRC accounts for about 70%.

According to reports, Reuters Senate Intelligence Committee Chairman Mark Warner and Committee Chairman to power Joe Manchin sent a letter to the Ministry. The power engineering specialists document states the need to take steps to stimulate battery production in the United States and organize research in the relevant field. China is said to dominate the global battery supply chain for electric vehicles, including the production of graphite - one of the key components. At the same time, it is expected that by 2035 the demand for batteries on a global scale will grow by more than seven times.

China accounts for about 70% of lithium-ion batteries in the world

The United States should become a leader in the production of batteries and their components, while ensuring the safety of our supply chains of materials, the senators say.

It is noted that of the five most important minerals required for most lithium-ion batteries, China "controls from 60% to 100% of the extraction or processing of these minerals." The letter also points out that "it is imperative that the U.S. leads the way in next-generation battery technology and alternative chemistry." At the same time, according to senators, the development of new generation battery technologies should be coordinated Ministry of Defence with other national security agencies. Lithium-ion batteries, it said, Pentagon are crucial for thousands of military systems, from "hand-held radios to unmanned underwater vehicles and future projects such as lasers, directed energy weapons and hybrid electric tactical vehicles."^[1]

2019: Sales growth to $31.36 billion

The volume of the global lithium-ion battery market in 2019 reached $31.36 billion, according to the analytical company ResearchAndMarkets. Experts did not specify the dynamics and only reported that sales of such batteries are on the rise.

According to the researchers, the growth of the lithium-ion battery market is primarily due to the supply of high density cells for them. Such components allow devices to work longer without recharging.

The volume of the global lithium-ion battery market in 2019 reached $31.36 billion

Most lithium-ion batteries used in portable electronics use cobalt at their core, providing the highest energy density among other commercial solutions. The specific energy capacity of the lithium-ion battery is 100-265 W/kg or 250/670 W/l, which is one of the highest indicators on the market.

Lower prices for lithium-ion batteries are contributing to their sales growth. According to analysts, the cost of such batteries in 2013 was $650 per kWh, and in 2018 the figure fell to $176.

The cost reduction is due to the use of new materials, production processes and increased investment from manufacturers.

The leaders of the lithium-ion battery market in ResearchAndMarkets are the following companies:

• A123 Systems;
• Automotive Energy Supply Corp;
• LG Chem;
• Panasonic;
• Samsung SDI;
• Toshiba;
• BYD;
• Automotive Energy Supply Corp;
• Modern Amperex technology;
• Johnson Controls.

One of the main issues holding back the rapid growth of the lithium-ion battery market is safety, the study said. Such devices store a large amount of energy, which leads to the risk of explosion or fire. The U.S. Federal Aviation Administration (FAA) reported 206 incidents involving the explosion of lithium-ion batteries at airports between March 1991 and January 2018.^[2]

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