The cost of raw materials, particularly lithium carbonate, plays a significant role in the pricing of lithium-ion batteries. The recent decrease in lithium prices has been a major factor in lowering battery costs. As lithium is a key component in these batteries, fluctuations in its price directly impact the overall cost of battery production.
A cylindrical lithium-ion battery is a lithium-ion battery with a cylindrical shape. According to IEC61960, its model name is composed of three letters and five digits: the first three letters indicate 'lithium-ion' (I-L).
The letter I in a Li-ion battery indicates that there is a built-in lithium ion in the battery. The second letter indicates the cathode material: C for cobalt, N for nickel, M for manganese, and V for vanadium. For example:
The third letter “P” in a Li-ion battery model number signifies a square battery. For example: ICP103450 represents a square secondary lithium-ion battery with a positive electrode material of cobalt and dimensions of approximately 10mm thick, 34mm wide, and 50mm high. ICP08 / 34/150 represents another square secondary lithium-ion battery.
The price of lithium-ion batteries has been on a downward trend, reaching a record low of $139 per kWh in 2023 and continuing to decrease into 2024. The reduction in lithium prices, increased production capacity, and technological advancements have all contributed to this trend.
Effect on Battery Prices: The decrease in lithium prices is expected to further lower the prices of lithium-ion batteries, continuing the trend observed in 2023. In June 2024, the average prices for EV battery cells saw a decrease: Square Ternary Cells: Priced at CNY 0.49 per Wh, down 2.2% from May.