Manufacturing capacity needed to meet projected demand is estimated using a utilisation rate of 85%. Announced electric vehicle battery manufacturing capacity by region and manufacturing capacity needed in the Net Zero Scenario, 2021-2030 - Chart and data by the International Energy Agency.
About 70% of the 2030 projected battery manufacturing capacity worldwide is already operational or committed, that is, projects have reached a final investment decision and are starting or begun construction, though announcements vary across regions.
Battery production has been ramping up quickly in the past few years to keep pace with increasing demand. In 2023, battery manufacturing reached 2.5 TWh, adding 780 GWh of capacity relative to 2022. The capacity added in 2023 was over 25% higher than in 2022.
Global battery manufacturing capacity by 2030, if announcements are completed in full and on time, could exceed 9 TWh by 2030, of which about 70% is already operational or otherwise committed.
According to data from EnergyTrend, the new energy research center of TrendForce, the total capacity of battery cells is projected to reach approximately 1047GW in 2023, marking a 46.51% year-on-year increase. This capacity expansion is primarily driven by the growing adoption of N-type cells.
Global production of battery cells will increase sharply in the coming years, and cathode materials will be newly and further developed. Nevertheless, the market shares of these two technologies are expected to remain high until the end of the decade. This can be attributed to several aspects.