In 2023, lithium-ion battery pack prices reached a record low of $139 per kWh, marking a significant decline from previous years. This price reduction represents a 14% drop from the previous year’s average of over $160 per kWh.
As electric vehicle (EV) battery prices keep dropping, the global supply of EVs and demand for their batteries are ramping up. Since 2010, the average price of a lithium-ion (Li-ion) EV battery pack has fallen from $1,200 per kilowatt-hour (kWh) to just $132/kWh in 2021.
Since 2010, the average price of a lithium-ion (Li-ion) EV battery pack has fallen from $1,200 per kilowatt-hour (kWh) to just $132/kWh in 2021. Inside each EV battery pack are multiple interconnected modules made up of tens to hundreds of rechargeable Li-ion cells.
Here are some key statistics that guide the battery cell price trends: The energy sector drives a big part of this demand, with Fenice Energy leading in efficient battery solutions. Changes in making and energy production costs matter too. Bloomberg predicts big drops in the cost of making batteries.
These include the development of LTO/XNO, differences in cathode creation methods, and efforts in recycling. Together, they guide the direction of battery cell prices. Experts expect good things for battery cell prices. They predict a growth rate over 14.32% from 2024 to 2029, making batteries more affordable.
The price of battery cells changes for different uses. When we look at cars, there’s a big demand for lithium-ion batteries. In 2022, this demand went up by 65%, reaching 550 GWh from 330 GWh before. This shows how fast the industry is growing and how more people are using these batteries.