The demand for lithium-ion batteries in the automotive sector has seen a significant increase of around 65% in the past year. As the electric vehicle (EV) market continues to grow rapidly, it is crucial to know which companies are leading the way in supplying batteries for these vehicles.
One of the top contenders is CATL, which has been leading the charge with a 29% market share. However, its position has slightly dropped due to a slower growth rate. With the introduction of the Qilin battery and the upcoming Shenxing batteries, CATL may be able to regain its lost share.
LG is currently in second place, but it is facing competition from fast-growing BYD. With a year-on-year growth rate of 101%, BYD has managed to increase its market share from 13% to 19%. It is predicted that BYD will surpass LG in the near future.
On the other hand, Panasonic, once a leader in the automotive EV business, has slid down to fourth place with a 10% share. Its main client, Tesla, has diversified its battery suppliers, leading to the decline in Panasonic’s market position.
Other notable players in the battery supplier market include Samsung, CALB, Farasis Energy, Envision AESC, and Sunwoda. These companies have experienced significant growth rates and are working towards catching up with the top players. Factors such as partnerships with major automakers and the success of certain EV models have contributed to their growth.
As the EV market continues to grow at a rate of 40 to 50% year on year, the battery market is also expected to expand rapidly. With the increasing average battery size, a growth rate of over 50% is likely in the next couple of years.
Overall, the market for EV batteries is a critical component of the EV transition, and the competition among battery suppliers will only continue to grow as the demand for electric vehicles rises.