This Year, South Korea Will Surpass Japan In Market Share For EV Lithium Ion Batteries? – Video

JUN 23 2014 BY MARK KANE 10

Vehicles with LG Chem batteries

Vehicles with LG Chem batteries

According to Arirang News, Korean battery manufacturers are preparing an expansion into China’s New Energy Vehicles market, which should enable them to take over Japanese competitors in market share.

Since 2011, Japan has been losing its market share and if nothing changes, then some experts expect that soon both countries will switch places (South korea will move to #1, while Japan will fall to #2).

Interesting is that since 2010, Japan and Korea had together well over 90% of the plug-in car market share for lithium-ion batteries. Peak was observed in 2013 (95.6%) and in 2013 it’s estimated at 92.4%.

Korean companies, which aim to take the lead, are heavily investing now in China.

LG Chem recently add SAIC and Qoros to its customers list with plans to build battery plant, while Samsung SDI plans to invest $600 million within five years in a new battery factory in China. SK Innovation has entered into a joint venture with Beijing BESK Technology and would like to be the leader.

Will we see South Korea overtake Japan for lithium-ion battery market share for plug-in vehicles this year?

Categories: Battery Tech, General

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10 Comments on "This Year, South Korea Will Surpass Japan In Market Share For EV Lithium Ion Batteries? – Video"

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Hmm includes hybrids and not just the plugin variety.

Even then, wonder how they are doing compared to Panasonic, Nissan etc … Only large volume vehicle I see there is Volt.

Also the ZOE. Lower volume but bigger battery. And lots of small ones make a big chunk, I guess.

Wow !!

I hope I’m understanding this correctly…

Some oriental people are taking over the battery business from some other oriental people.

Wow !!

That just sounds like business as usual.

I want to know what that 2016 US OEM is! Is it the rumored higher-range GM EV? Is Ford taking another stab at the market? (I’m assuming it can’t be a car from I-hate-EVs Sergione’s Fiat-Chrysler.)

It could be Tesla as Panasonic’s battery production capacity is insufficient for the needs of Tesla’s growth rate and Tesla has been in discussions with Samsung and LG Chem for additional batteries. And third gen Tesla is slated for 2016.

GM said that they are planning 200 mile EV in around 2016, but I think that this is vaporware.

Tesla is already the largest battery pack manufacturer in the world (Toyota is second with its hybrids and Nissan third) and therefore Panasonic has already 40 % market share of global EV batteries (not including hybrids). And this year Tesla’s battery demand is projected to grow some 50 % from 2013, that is faster growth rates than with the rest of EV/hybrid markets. And in 2015 Tesla is projected to sell more than 50k x 85 kWh worth of batteries that should be more than the rest of the industry combined — including batteries for hybrid cars.

Therefore it is unlikely that Japanese EV battery market share continues shrinking, because Tesla/Panasonic alone can keep up 50 % market share of EV batteries because it is growing faster than the rest of the markets at least until 2018. Then things get hard to predict, because we do not know how fast is the EV market growth rate on longer term.

That is very overoptimistic. With more SuperChargers coming up, more people will choose the 60 kWh models for a better price.

I disagree. It is more likely that Tesla will cancel the 60 kWh version and instead is offering 85 kWh and 115 kWh versions of Model S.

Also larger battery can tolerate better fast charging. My guess is that this the primary reason, why Tesla does not offer supercharging for 60 kWh version as a standard.

I also predict that with third gen Tesla, 300 mile version will outsell 200 mile version by wide margin. And it may well be that again, Tesla is offering free supercharging only for the 300 mile version of third gen car.

I think the video is a bit superficial. Yes, Korea is exporting a increasing share of batteries compared to Japan. However, there are practical (economic and political) limits to exporting batteries. The video states Korea is now looking to manufacturing in China. Years ago, Nissan built battery manufacturing in places like the US, UK, and Portugal. That had to reduce the exports from Japan. So, is Korea taking a lead in battery exports, or is this a sign that Korean manufacturers have fallen behind in global manufacturing?

Battery cell production != battery pack assembly