Over the past few years, the market for electric vehicles battery has expanded dramatically on a global scale due to their various advantages over conventional batteries. According to the market intelligence report by BIS Research titled, ‘Global Electric Vehicles Battery Market- Analysis and Forecast (2017-2026)’, the market is expected to grow at a CAGR of approximately 20%, in terms of value, during the forecast period. Owing to the rising demands for electric vehicles, the prominent market players in the automotive industry are focussing on research and development activities to introduce cost-effective solutions for the consumers.
In March 2018, one of the prominent market player, NISSAN, announced to sell 1 million electric cars by the year 2022, joining a race to hit a sales goal that Tesla, General Motors, and Toyota have also targeted. To achieve the same, Nissan is planning to build eight new pure electric vehicles(EVs), based on the popular leaf. Further, the company is expected to launch “an electric car offensive” in China under different brands and to bring autonomous driving technology to 20 models in 20 different markets.1
In March 2018, a consortium led by South Korea’s POSCO and Samsung announced that they will build a cathode plant in Chile, by the year 2021, for countries’ lithium-ion battery project. For the plant, to be constructed in Mejillones, a Chilean port city project, they both are expected to invest 57.5 billion. The plant is to produce 3,200 tonnes of cathode a year starting the second half of 2021, which will be used to make lithium-ion batteries for electric vehicles.2
In February 2018, one of India’s leading automobile manufacturer, Mahindra & Mahindra(M&M) teamed up with South Korean manufacturer LG Chem to develop a unique cell, exclusively for India. Under the partnership, LG Chem is supplying Lithium-ion (Li-ion) cells based on NMC (Nickel Manganese Cobalt) chemistry with high energy density. In Future, LG Chem is expected to design Li-ion battery module for Mahindra Electric, which in turn will produce battery packs for Mahindra Groups and other customers.3 The key players in this industry are Tesla Inc.(US), BYD Company Limited(China), General Motors(US), and Samsung SDI (South Korea), LG Chem (South Korea). Apart from these players, a number of start-ups in the electric vehicle market are also taking place which in turn have presented a plethora of opportunities to the market players globally. Further, the market is expected to reach a niche level owing to several technological advancements along with collective efforts from government and manufacturers to promote electric vehicles.