Lithium-Ion Battery Revenue For EVs to Grow From $6 Billion in 2014 to $26.1 Billion in 2023

APR 21 2014 BY STAFF 6

“…worldwide revenue from Li-ion batteries for EVs will grow from less than $6 billion in 2014 to $26.1 billion in 2023.”

Chevy Volt Battery

Chevy Volt Battery

That’s according to a new report put out by Navigant Research.

Navigant credits the “steady increase in sales of electric vehicles” with the predicted rise in global revenue from lithium-ion battery production.

David Alexander, senior research analyst with Navigant Research, states:

“The shift to lithium ion represents a major endorsement of the ability of this chemistry to perform consistently in an automotive environment.  Most of the major automakers have introduced battery electric vehicle (BEV) and plug-in hybrid electric vehicle (PHEV) models in the last two years, almost all of which use lithium ion batteries for onboard energy storage.”

Navigant concludes:

“Demand for Li-ion batteries will be driven primarily by BEVs throughout the forecast period thanks to the size of the battery required.”

Source: Navigant


Categories: General


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6 Comments on "Lithium-Ion Battery Revenue For EVs to Grow From $6 Billion in 2014 to $26.1 Billion in 2023"

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Electric car sales doubled from 2011 to 2012 and then again from 2012 to 2013. I might hope we’ll see more than 2 doublings until 2023.

Well put. Lithium is on a different curve, than, say, frack sand.

15kWh PHEV packs * $200/kWh * 2.5M units
50kWh EV packs * $150/kWh * 2.5M units

5M plugins per year is about 25x last year’s global sales, which is pretty decent growth for a decade.

I’d say the $6B for this year is big rather than $26B being small. Even if 2014 sales are a spectacular 200k PHEV + 200k EV, you’d need $10k ASP for the former and $20k ASP for the latter to get $6B, which are rather absurdly high prices.

The plan is, that the price per complete battery is going down, especially the price per unit of battery capacity. Perhaps there are even considering non LiIon based batteries on the market in 2023.

This is an extremely conservative estimate and I’m sure we will see number that are at least double that.

Yeah, between pure EVs and plug-in hybrids (PHEVs), there should be a lot of growth.

It still isn’t clear to me whether pure EVs or PHEVs will dominate. I guess it really depends on battery prices and consumer acceptance.