EV Lithium-Ion Battery Suppliers Outlook For H1 2016



Top lithium-ion battery producers for electric cars in H1 2016 (data source: EV Sales Blog)

Top lithium-ion battery producers for electric cars in H1 2016 (data source: EV Sales Blog)

Top lithium-ion battery producers for electric cars in H1 2016 (data source: EV Sales Blog)

Top lithium-ion battery producers for electric cars in H1 2016 (data source: EV Sales Blog)

Here is a quick look at the progress for the lithium-ion battery market for electric cars,  which turns out to be growing faster than electric car market itself, as provided by some valuable data compiled by EV Sales Blog.

Today’s Li-ion battery sales (as defined by energy) grows faster than the EVs themselves because on top of the increasing plug-ins sales, battery pack capacity is going up.

As a result, the first half year total MWh of batteries produced has increased by about 81% – to nearly 8,500 MWh (8.5 GWh), while the plug-in market itself increased by about 50%.

All the top battery suppliers note an increase of sales. Panasonic remains the top player, with more than one-third of the market, but in terms of growth, BYD is second to none moving up by more than 300%.

Interestingly, Nissan’s AESC is back on the medal podium ahead of LG Chem, which is now gearing up for a strong run at 3rd in 2017 with the Chevrolet Bolt EVs (60 kWh), which arrives in Q4 for the United States.

EV Sales Blog

Category: Battery Tech, General

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24 responses to "EV Lithium-Ion Battery Suppliers Outlook For H1 2016"
  1. Pushmi-Pullyu says:

    Two big surprises for me here:

    1. The huge amount by which BYD is increasing production. That really underscores the way PEV sales are taking off in China!

    2. The tiny amount by which LG Chem is increasing production. WTF? I thought everybody and his dog was clamoring to get LG’s new, lower-cost battery cells. LG Chem keeps announcing new customers… why aren’t they ramping up production?

    1. Anon says:

      This underscores the few advantages that a Dictatorship can have over other forms of Government: sweeping environmental change and expediting improved sustainable technology over older, dirtier ones, despite token foot-dragging from global political and business interests.

      This is why I think things will be much better (initially) when the AI’s take over… 😉

      1. Ocean Railroader says:

        When the Al’s take over they are going to be the most ruthless thing in human history to kill humans out side of a full blown alien invasion. In that Al won’t be weighted down by the cinder blocks in our heads called emotions.

        Or Al is going to turn us into a group of mindless pigs like in Wall E.

      2. Pushmi-Pullyu says:

        Anon said:

        “This is why I think things will be much better (initially) when the AI’s take over… 🙂 ”

        I, for one, welcome our new autonomous vehicle overlords.

      3. speculawyer says:

        Although I’m sure environmental concerns are part of it, I suspect much of China’s EV policy is guided by the desire not to become addicted to imported oil for economic and national security reasons.

        1. Terawatt says:

          It is driven more than anything by the overwhelming problem of local pollution. That’s what generates the political pressure.

          Economics favor EVs as well. Even today, with EVs being more expensive to build, the reduced energy consumption and health impact more than pays back the premium over time.

          Geopolitics of course also favor EVs. But if it was the only “real” concern you’d see China’s coal output still climbing rapidly. Instead it is declining, ever so slowly in absolute terms, but fairly quickly in terms of share.

    2. ItsNotAboutTheMoney says:

      LG Chem has spare capacity. Many manufacturers increased production capacity several years ago for demand that never materialized.

      1. ItsNotAboutTheMoney says:

        Should add that they are also gradually increasing capacity, but they don’t want to get burned again.

        1. Pushmi-Pullyu says:

          Thanks for providing some perspective.

          I had forgotten that InsideEVs’ Jay Cole said that LG Chem had a lot of unused capacity, altho I think mostly in countries where they don’t have a favorable balance of trade. Part of the reason LG was able to offer that low, low price of $145/kWh was due to the high value of the U.S. Dollar against the currency of S. Korea, where (if my understanding is correct) most or all of the Bolt batteries will be coming from.

          “…they don’t want to get burned again.”

          That’s certainly understandable. It has only been a few years since the market for li-ion batteries was so oversupplied that Envia went out of business, and A123 struggled to survive.

          I think a similar caution is the main reason that Panasonic has been unwilling to ramp up their supply for Tesla as fast as Tesla has needed them to.

          That caution is one of several reasons why I keep saying that all auto makers planning to make and sell compelling long-range EVs in large numbers need to build their own battery factories and control their own battery supply.

          1. JeremyK says:

            “That caution is one of several reasons why I keep saying that all auto makers planning to make and sell compelling long-range EVs in large numbers need to build their own battery factories and control their own battery supply.”

            Why, so vehicle manufacturers can be the ones that go bankrupt when sales volumes don’t materialize? Having cell manufacturing kept within the Tier 1 supply base protects the OEMs from unnecessary risk.

            Tesla is putting themselves at substantial risk by signing agreements with Panasonic that guarantee that Panasonic gets paid whether or not Model 3 sales are there or not. This is the only way Panasonic would agree to invest so heavily in the GF.

    3. Cavaron says:

      I could bet that LG is stockpiling Bolt batteries right now. But you are right – looks puny against Panasonic which has yet to ramp up Gigafactory output for 500.000 Teslas a year + powerwalls. Will be interesting to see how LG will scale up production for 50k Bolts + Nissan/Renault and what not EVs.

      1. speculawyer says:

        Well, Tesla is selling far more cars than everyone else. Plus their cars have 2X to 3X as many cells in them.

    4. Mikael says:

      BYDs plan is to add about 6 GWh of capacity per year. We’ll see how that goes. 34 GWh when 2020 comes is pretty serious, and if they can keep growing like they are right now that will probably not be enough.

      Right now they have about 10 GWh capacity dedicated to new energy vehicles. And from what I’ve heard (don’t know how reliable it is though) they are supposed to have about 16 GWh in total capacity at the end of the year.

      They are big in energy storage too. It would be really interesting to know how much they actually produce in a year in total.

      Total Chinese lithium battery production capacity is supposed to be ~50 GWh in 2016.

    5. Robert Middleswarth says:

      Production is based on Vehicles actually in production most of those contracts are for vehicles that come out in the next few years. They will increase over time

    6. SJC says:

      Announcements are not firm order contracts.

  2. Jake Brake says:

    Any chance you can provide the data in units/quarter instead if energy. That way it accounts more for sales and not just tesla selling high capacity bevs.

    1. ItsNotAboutTheMoney says:

      A battery is a way of packaging cells and cell modules.

      It’s really only the total battery capacity sold that matters since that’s where material demands come from, and where economies of scale come from.

    2. Some Guy says:

      In addition, the Panasonic bars in that “cell diagram” would be sky-high (remember, 7000 cells per Tesla car, most of the others use around 100-300 larger format cells only)

    3. Jake Brake says:

      I ment vehicle units sold. Other companies have an array of chemistries from power type to energy type cells that go into 12v, 48v, hev, phev, and bev applications. Only looking at total kwh skews the data towards Panasonic and tesla. That’s all I’m saying.

      1. Pushmi-Pullyu says:

        This article compares MWh (megawatt-hours) of batteries made.

        InsideEVs has other articles that compare EVs sold, which is what you’re looking for. You might want to check out this one:


  3. Clive says:

    That battery looks like it went to war.

  4. zzzzzzzzzz says:

    It is somewhat misleading, as this is only part of battery production, much of it is sold not to EV makers. Does it include battery buses? E.g. BYD alone is expected to have 10 GWh capacity at the end of this year.

  5. kimmi says:

    If you go to the original source of the article (http://ev-sales.blogspot.pt/2016/07/batteries-june-2016.html), you can see that BYD has an extra 1.2GWh coming from buses, so the two together gives 2.6GWh.

    As the second half of the year is always the busiest in China, i would say that BYD will reach some 7GWh capacity by year end.

    1. Ziv says:

      China is building electric buses at a phenomenal rate. I think electric buses make even more of a difference to quality of life for city residents than electric cars, with the near silent operation and no local emissions.
      We are moving towards natural gas powered buses here in the DC Metro area, which is ok, but electric buses like Protera builds are even better.